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OP  ACTUAL  BUSINESS  TRAINING 


TEACHERS' 

MANUAL 


Copyright  1911.  by 

ELLIS  PUBLISHING  COMPANY, 

Battle  Creek,  Mich. 


]CT      sX   I 


EDUCATION  DEFT. 


TEACHER'S  MANUAL 

— for  the— 

Ellis  System  of  Actual  Business  Training 


CABINET  AND  CARD  FORM 


Business  Directions. — In  this  Manual  the  routine  of  trans- 
actions is  referred  to  as  "Business  Directions"  and  when  this  term 
is  used  it  applies  either  to  the  Cabinet  form  or  to  the  Card  form. 

The  Plan. — The  plan  of  the  Cabinet  System  is  to  transpose 
to  the  class-room  the  actual  business  conditions  as  they  really  exist 
among  business  men.  It  is  sometimes  called  the  Business  Commu- 
nity Plan.  The  student  deals  with  his  fellow  students  and  with  the 
several  offices  exactly  as  if  he  were  engaged  in  real  business.  These 
dealings  are  regulated  by  a  graded  outline  of  transactions  in  the 
form  of  the  Cabinet  device  or  Cabinet  Cards,  a  copy  of  which  is 
given  to  each  student,  and  which  is  known  as  his  Business  Directions. 
Each  student  is  supplied  with  a  full  outfit,  which  contains  the 
student's  Guide,  Blank  Books,  and  all  necessary  stationery.  This 
outfit  contains  everything  that  the  student  will  need  during  the 
entire  course  of  study.  The  student  uses  current  dates  and  his 
own  name  in  all  his  transactions.  He  is  supplied  by  the  teacher 
with  an  original  capital  in  college  currency  (usually  $5,000).  He 
opens  an  account  with  the  Bank  and  deposits  his  capital  in  the 
ordinary  way.  He  rents  a  place  of  business  (his  desk),  purchases  of 
the  wholesale  house  a  stock  of  merchandise,  opens  the  accounts  in 
his  books,  and  commences  business.  He  carries  on  his  business  in 
exactly  the  same  manner  as  any  merchant  or  business  man.  The 
student  is  taught  that  the  business  transaction  must  precede  the 
record  of  the  transaction  in  his  account  books.  He  cannot  copy 
from  others  since  his  transactions  are  different  from  those  of  every 
other  student,  and  as  in  real  business,  come  to  him  unexpectedly. 

[3] 

5 4! '. 


He  has  a  voucher  for  every  transaction.  Each  student  at  some 
-time  during  i<his  college  career  enters  and  conducts  all  of  the  offices 
which  include  a  bank,  wholesale  and  commission  houses,  and  as 
many  other  offices  as  the  school  wishes  to  install.  In  these  offices 
he  becomes  familiar  with  the  intricacies  of  Commission,  Brokerage, 
Jobbing,  Insurance,  Transportation  and  Real  Estate  bookkeeping 
as  well  as  Voucher,  Banking  and  Corporation  work.  He  is  taught 
to  use  Bound,  Loose-leaf  and  Card  Ledgers,  special  ruled  Purchase, 
Sales  and  Cash  books,  handles  various  business  papers,  including 
Bills  of  Lading,  Notes,  Drafts,  Checks,  and  makes  Trial  Balances 
and  General  Financial  Statements.  In  the  office  he  also  fills  a 
position  as  buyer,  salesmanager  and  general  manager.  The  student 
throughout  the  entire  course  learns  not  by  theory  how  business 
should  be  done  and  why  books  of  account  should  be  kept,  but  by 
doing  the  things  that  are  actually  done  in  real  business.  He  is 
given  an  all  round  business  education  in  connection  with  which  he 
acquires  a  mastery  of  the  subject  of  bookkeeping. 

The  Cabinet. — One  plan  of  presenting  the  Business  Directions 
is  by  means  of  a  mechanical  device  called  the  "Cabinet,"  the  purpose 
of  which  is  to  prevent  the  student  from  anticipating  future  work  or 
from  referring  to  directions  already  passed,  for  which  his  books  of 
original  entry  and  vouchers  should  supply  him  a  complete  record. 
This  device  is  so  arranged  that  the  student  can  turn  the  Business 
Directions  forward  only,  and  there  is  no  possible  way  by  which  he 
can  turn  back  to  a  transaction  after  it  has  once  passed  beyond  the 
range  of  his  vision.  When  the  Cabinet  device  is  given  to  a  student 
he  should  be  instructed  by  the  teacher  to  carefully  read  and  observe 
the  directions  and  rules  appearing  on  the  back  thereof. 

Cabinet  Cards. — Another  plan  of  presenting  the  Business 
Directions  is  by  means  of  a  series  of  cards  called  "Cabinet  Cards." 
The  course  of  study  appearing  on  these  Cards  is  exactly  the  same  as 
that  presented  by  the  Cabinet  device  described  in  the  foregoing  para- 
graph. A  case  for  filling  these  Cards  stands  on  the  teacher's  desk. 
This  case  is  properly  indexed  and  is  easily  accessible.  Card  No.  i 
is  given  out  to  the  beginning  student  and  after  he  has  completed 
the  directions  thereon  he  returns  it  to  the  teacher  and  secures  Card 
No  2,  and  so  on  throughout  the  entire  course.  The  course  of  study 
is  carefully  graded  and  advances  the  student  gradually  from  the  sim- 
ple transactions  to  the  more  complicated  and  difficult  ones.  By  the 
Card  plan  the  teacher  may  hold  the  student  in  check  and  prevent 
him  from  advancing  from  one  Card  to  another  until  he  has  secured 


the  teacher's  approval  of  the  work  already  done.  In  this  connec- 
tion it  is  well  for  the  teacher  to  keep  a  record  of  the  number  of  each 
Card  given  to  each  student.  By  glancing  at  this  record  he  can 
determine  instantly  how  far  each  student  in  his  class  has  advanced. 
By  requiring  the  student  to  return  with  each  Card,  his  books  ol 
account  and  other  records,  the  teacher  is  able  to  keep  a  close  check 
on  the  student's  work,  at  all  times. 

The  Student's  Guide. — This  book  is,  as  its  name  indicates,  a 
Guide  to  be  used  with  the  Business  Directions  contained  in  the  Cabi- 
net and  appearing  on  the  Cards.  In  other  words,  the  student's 
Guide  is  a  manual  on  bookkeeping,  and  from  it  the  student  learns 
how  to  transact  business,  handle  all  forms  of  business  papers,  open 
and  close  his  books,  make  out  trial  balances  and  financial  statements 
and  to  do  many  other  things  necessary  for  properly  carrying  out 
the  Business  Directions.  Rules,  definitions,  forms,  and  cautions  are 
brought  to  the  student's  attention  just  at  a  time  when  he  is  asked  to 
perform  some  transaction  requiring  specific  knowledge,  the  aim  being 
to  assist  the  student  in  a  natural  way  by  removing  one  obstacle  at  a 
time  in  the 'order  in  which  it  arises. 

The  teacher  should  make  constant  use  of  the  information  in  Part 
II  of  the  Guide.  Here  may  be  found  a  full  explanation  of  all  the 
common  forms  of  Check  Figure  Proofs,  a  treatment  of  Pay  Rolls  and 
accounts  with  employees,  a  brief  chapter  on  Cost  Accounting,  some 
valuable  pointers  as  to  how  to  find  errors  in  trial  balances,  and  much 
other  important  information.  The  Guide  is  full  of  suggestions  to  the 
bookkeeper  as  to  the  conduct  of  his  business  affairs,  the  treatment 
of  business  papers,  and  the  customs  of  office  and  business  practice. 

School  Offices- — The  course  of  study  provides  for  the  establish- 
ment of  four  general  offices  known  as,  Merchants  Bank,  American 
Merchandise  Company,  College  Produce  Company  and  U.  S.  Com- 
mission Company,  detailed  descriptions  of  which  will  be  found  on 
subsequent  pages.  Other  offices,  such  as  real  estate  office,  post- 
office,  additional  wholesale  or  commission  houses,  etc.,  may  be 
established  if  desired.  These  offices  may  be  as  elaborate  or  as  simple 
as  the  judgment  of  the  proprietor  may  dictate.  We  would  recom- 
mend when  a  school  first  begins  the  use  of  the  Cabinet  Method  of 
Actual  Business  that  it  establish  all  of  the  offices  above  suggested. 
The  Course  of  Study  whether  in  the  Cabinet  or  on  the  Cards  is 
independent  of  the  work  of  the  offices.  That  is  to  say,  while  the 
Course  of  Study  provides  the  books  the  student  shall  use,  any  plan 
of  account  keeping  desired  by  the  teacher  may  be  installed  in  the 


offices.  This  is  a  great  advantage.  While  the  Course  of  study  is 
very  versatile,  allowing  great  latitude  for  the  individual  preference 
of  the  teacher,  the  fact  that  the  work  in  the  offices  is  independent  al- 
lows the  teacher  free  reign  to  install  such  books  and  plans  for  the 
offices  as  his  judgment  may  dictate,  or  as  the  local  conditions  may 
require.  In  this  way,  by  the  use  of  the  Cabinet  Method,  the  teacher 
may  lengthen  and  emphasize  any  kind  of  work  made  necessary 
by  local  conditions,  such  as  the  use  of  the  Voucher  Method 
where  manufacturing  is  extensive,  or  the  Modified  Voucher  Method 
where  merchandising  is  the  leading  business. 

We  cannot  emphasize  too  strongly  the  advantages  to  be  derived 
from  a  well  equipped,  attractive-looking  set  of  offices.  When  the 
student  enters  the  offices  he  realizes  more  than  ever  that  he  is  face  to 
face  with  identically  the  same  conditions  he  will  meet  in  the  real 
business  office  and  begins  to  understand  that  his  future  success 
depends  very  largely  on  the  reputation  he  makes  at  this  time. 

When  the  attendance  is  small  during  the  summer  months,  the 
instructor  in  charge  may  have  the  students  do  practically  all  of  their 
work  with  the  offices,  thus  keeping  all  of  the  offices  busy.  Some 
teachers  find  it  more  advantageous  during  the  quiet  season  to 
reduce  the  number  of  offices  by  combining  two  into  one.  The 
work  in  the  offices  may  be  as  extended  as  desired,  and  the  teacher 
may  easily  introduce  into  these  offices  any  special  features  that 
he  may  find  advantageous,  thus  readily  adapting  the  course  to 
local  conditions. 

The  Merchants  Bank. — In  this  office  the  business  is  conducted 
and  books  are  kept  the  same  as  in  any  ordinary  bank.  Full  in- 
structions will  be  found  in  the  Guide,  pages  198-210,  for  the  or- 
ganization and  officering  of  the  bank.  The  teacher  may  use  his 
own  judgment  as  to  the  organization  of  this  office.  The  bank  may 
be  regularly  capitalized,  incorporated  and  organized  under  the 
forms  of  law  required  by  the  state  in  which  the  school  is  located,  or 
it  may  be  organized  under  the  National,  Banking  Act,  or  the  com- 
pletion of  the  organization  may  be  taken  "for  granted,"  the 
students  in  charge  of  the  bank  doing  the  work,  as  ordinary  em- 
ployees, under  the  instruction  of  the  teacher.  If  conditions  wTill 
warrant,  a  cashier,  receiving  teller,  paying  teller,  bookkeeper,  etc., 
may  be  selected  to  perform  their  respective  duties  in  this  office. 
As  to  how  highly  organized  the  plan  of  conducting  the  bank  will  be, 
depends  largely  upon  conditions,  and  the  wishes  of  the  teacher  in 
charge.  It  is  suggested  that  the  bank  be  organized  under  the 

[6] 


National  Banking  laws,  and  that  a  Board  of  Directors  be  elected, 
and  the  necessary  officers  selected.  By  writing  the  Comptroller  of 
Currency  at  Washington,  D.  C.,  a  copy  of  the  National  Banking  Act, 
and  other  "instructions  and  suggestions  of  the  Comptroller  of 
Currency  relative  to  the  organization,  etc.,  of  National  Banks"  may 
be  secured.  However,  some  prefer  to  assume  the  organization  and 
this  is  probably  better  when  the  course  is  first  introduced. 

The  special  features  of  the  banking  work  of  the  Cabinet  Method 
in  this  office,  and  the  uses  of  various  account  books,  are  fully  ex- 
plained in  the  Student's  Guide.  The  labor  of  keeping  the  bank 
books  will  be  greatly  reduced  if  the  Journal,  Ledger  and 
Balance  -book,  and  all  other  books  mentioned  in  the  chapter  on 
banking,  pages  200—210  of  the  Guide,  are  installed  at  the  outset. 
The  publishers  provide  for  this  office  a  General  Ledger  in  two 
forms:  Loose-leaf  and  permanent  bound.  We  furnish  a  Depositors 
Ledger  in  three  forms  and  either  one  of  these  may  be  used  effect- 
ively. They  are:  The  Depositors  Individual  Ledger,  The  Daily 
Journal,  Ledger  and  Balance  book  and  the  Loose-leaf  Depositors 
Daily  Balance  book.  The  Journal  provided  by  the  publishers 
for  use  in  this  office  is  a  combination  Cash  book  and  Journal  with 
especially  ruled  and  printed  headings  for  Bills  Receivable,  Interest 
and  Discount,  Collections,  Checks,  Deposits,  etc.  We  strongly 
recommend  the  use  of  the  loose-leaf  books  for  this  office  as  they  are 
modern  and  teach  the  student  how  to  handle  books  of  this  character. 
If  the  best  results  are  to  be  secured  from  the  conduct  of  the  Bank, 
the  teacher  should  be  careful  to  have  all  work  properly  and  system- 
atically done  each  day.  The  Cash  should  be  balanced  and  other 
important  duties  should  be  performed  promptly  and  not  be  allowed 
to  run  behind  from  day  to  day.  If  this  office  is  conducted  like  any 
modern  bank  and  the  work  kept  up  to  the  minute,  splendid  results 
will  be  secured  and  the  student  will  get  great  good  from  his  work. 

Other  Banks It  is  often  found  desirable  to  establish  ad- 
ditional banks  especially  in  the  larger  schools.  To  provide  for 
these  the  publishers  have  prepared  stationery  for  the  College  Bank 
and  the  First  National  Bank. 

American  Merchandise  Company. — This  office  is  primarily 
designed  to  afford  a  market  for  the  merchandise  that  the  student 
has  purchased  from  other  students,  yet  it  is  used  also  as  a  wholesale 
house  in  connection  with  its  purchasing  business.  It  occasionally 
occurs  that  a  student  is  unable  to  dispose  of  his  merchandise  to 
other  students  and  is  compelled  to  held  the  goods,  thus  making  it 

[7] 


impossible  to  realize  a  sufficient  income  to  pay  his  maturing  obli- 
gations. This  office  affords  him  an  outlet  for  the  disposal  of  his 
merchandise  when  all  other  sources  fail.  The  American  Merchan- 
dise Company  may  be  used  as  an  auxiliary  wholesale  house  in  addi- 
tion to  its  business  of  purchasing.  The  best  results,  however,  will 
be  obtained  when  the  students  are  not  allowed  to  sell  the  American 
Merchandise  Company  goods  that  they  have  purchased  from  the 
U.  S.  Commission  Company  or  the  College  Produce  Company,  ex- 
cept in  the  early  part  of  the  work  when  they  are  following  their 
Business  Directions. 

When  beginning  the  use  of  the  Cabinet  System  of  Actual  Business, 
this  office  should  be  capitalized  with  a  sufficient  sum  in  cash,  about 
$2*5,000,  a  part,  or  all,  of  such  amount  to  be  deposited  in  the  bank. 
It  is  an  excellent  idea  to  have  this  office  incorporated  under  the 
laws  of  your  State.  In  fact,  all  of  the  offices  should  be  incorporated, 
and  in  this  way  give  the  student  experience  in  corporate  matters, 
besides  giving  him  a  drill  in  parliamentary  practices.  As  intimated 
above  this  office  should  carry  a  regular  account  with  the  bank. 
Payments  for  purchases,  however,  may  be  made  either  by  check 
on  the  bank,  or  by  cash,  or  both  plans  may  be  followed. 

The  Books  planned  for  this  office  are  the  Eight-Column  Journal, 
the  General  Ledger,  Bills  Receivable  and  Bills  Payable  Register, 
Sales  Book  and  Invoice  Book,  as  books  of  original  entry.  The  General 
Ledger  provided  for  this  office  by  the  publishers  is  the  Three-Column 
Balance  Ledger.  By  this  ruling,  the  bookkeeper  is  able  to  tell  at  a 
glance  the  balance  of  any  account,  and  the  use  of  the  book  is  a  great 
aid  to  the  student  in  charge  of  the  work.  The  Bills  Payable  Register 
is  an  especially  ruled  form  from  which  the  student  posts  to  the 
General  Ledger.  The  Bills  Receivable  Register  is  the  standard 
ruling.  The  check  stubs  in  the  Check  book  provided  for  this  office 
are  so  ruled  as  to  permit  the  keeping  of  the  bank  account  thereon, 
and  on  the  reverse  side  of  the  check  stub  is  printed  a  Deposit  Slip 
upon  which  may  be  kept  a  copy  of  all  deposits.  The  teacher  may, 
if  he  prefers,  use  the  Banking  Ledger  for  keeping  the  bank  account 
of  this  office  instead  of  the  check  stub.  The  Invoice  book  is  so 
arranged  that  it  can  be  used  as  a  posting  medium.  Credit  items  are 
entered  in  their  respective  order  and  the  total  of  the  merchandise 
debits  carried  forward  through  the  merchandise  debit  column. 
A  Merchandise  Case  for  the  convenient  handling  of  the  merchan- 
dise cards  should  be  provided,  and  this  can  be  obtained  from  the 
publishers.  The  above  scheme  of  books  is  suggestive  only.  The 

[8] 


teacher  may  install  in  this  office  such  methods  of  account  keeping  as 
he  may  desire. 

The  American  Merchandise  Company  buys  from  students  at 
certain  fixed  discounts,  and  in  the  early  part  of  the  work  where 
students  are  instructed  to  buy  from  the  American  Merchandise 
Company  in  the  Business  Directions,  the  discounts  which  the  office 
allows  the  student  are  specified  on  the  order  sheets.  It  is  necessary, 
of  course,  for  each  office  of  the  school  to  allow  larger  discounts  in 
selling  the  students  than  the  students  allow  when  selling  to  one 
another,  or  to  the  offices  of  the  school,  otherwise  the  student  will 
not  conduct  his  business  at  a  gain.  Where  no  discount  is  specified 
on  the  merchandise  cards,  or  in  the  Business  Directions,  the  teacher 
should  arrange  for  a  discount  on  all  merchandise  sold  to  the  students 
by  the  offices.  Also  when  a  general  discount  is  specified  on  the  cards 
it  is  well  to  have  the  offices  allow  an  additional  one  or  two  per  cent 
discount  for  cash  or  time  papers.  The  various  offices  of  the 
schools  should  replenish  their  stock  of  merchandise  which  they 
will  require  from  time  to  time  by  purchasing  from  the  other  offices. 
The  discounts  for  the  offices  may  be  arranged  to  suit  the  wishes 
of  the  teacher. 

U.  S.  Commission  Company. — The  commission  business,  besides 
being  an  important  industry,  furnishes  a  valuable  study  for  the 
student,  and  is  a  means  by  which  he  may  learn  many  important  cal- 
culations in  arithmetic.  The  bookkeeping  feature  is,  of  course,  of 
first  importance,  but  the  drill  the  student  gets  in  Equation  of  Pay- 
ments, Equation  of  Accounts,  Averaging  Accounts,  Averaging 
Account  Sales,  handling  accounts  dealing  with  Freight,  Drayage, 
Insurance,  and  other  charges,  is  only  next  in  importance  to  the 
acquirement  of  the  knowledge  of  bookkeeping  peculiar  to  this  kind 
of  a  business.  The  purpose  of  theU.  S.  Commission  Company  is  to 
conduct  a  commission  business  and  to  give  the  student  the  neces- 
sary drill  in  keeping  books  of  account.  Great  care  has  been  taken  in 
selecting  the  method  employed  for  this  office  and  much  information 
concerning  the  books  to  be  used,  and  the  conduct  of  the  office  gener- 
ally may  be  found  by  reference  to  the  Guide,  pages  128-132 
inclusive.  The  U.  S.  Commission  Company  sells  to  the  students, 
to  the  American  Merchandise  Company,  and  to  the  College  Produce 
Company  all  merchandise  received  on  consignment,  and  also  carries 
a  stock  of  merchandise  of  its  own  to  be  sold  at  wholesale  to  the 
students  when  they  are  required  to  buy  from  this  office  in  the 
Business  Directions.  The  students  in  charge  of  this  office  should 

[9] 


take  advantage  of  every  opportunity  to  close  out  all  merchandise 
received  on  consignment  and  render  promptly  an  Account  Sales  to 
the  shipper.  The  U.  S.  Commission  Company  should  be  incor- 
porated and  should  be  sufficiently  capitalized  to  handle  its  business 
satisfactorily.  The  office  should  open  a  checking  account  with  the 
Merchants  Bank,  the  same  as  if  it  were  a  private  individual. 

The  principal  books  the  publishers  have  provided  for  use  in  this 
office  include  the  Receiving  book,  Sales  book,  Cash  book,  General 
Ledger,  Journal,  and  Consignment  Sales  Ledger,  besides  the  usual 
supplies  and  stationery.  The  Receiving  book  should  be  used  to 
enter  all  consignments  at  the  time  of  receiving  them,  the  ruling 
being  especially  prepared  for  this  purpose.  The  Sales  book  is  for 
sales  of  all  merchandise,  and  has  special  columns  for  the  sales  of 
merchandise  belonging  to  the  firm,  and  for  the  sales  of  merchandise 
received  on  consignment  and  sold  on  commission.  The  Cash  book 
has  printed  headings  and  is  ruled  to  six  columns.  The  bank  account 
is  kept  in  the  Cash  book,  full  directions  for  which  are  given  in  the 
Guide,  page  113.  Any  form  of  General  Ledger  may  be  employed 
that  the  teacher  in  charge  may  desire.  We  have  prepared  a 
Ledger  for  this  office  which  is  a  close  ruled  form  carrying  six  accounts 
to  the  page  with  printed  headings  indicating  the  purpose  of  each 
column.  The  Consignment  Sales  Ledger  has  the  usual  ruling  and 
gives  full  data  with  reference  to  all  consignments  to  be  sold  on  com- 
mission. The  Invoice  book  for  this  office  may  be  used  as  a  posting 
medium  or  merely  as  a  file  for  invoices,  whichever  the  teacher  prefers. 

College  Produce  Co. — This  is  a  wholesale  office,  or  jobbing  house, 
and  is  to  be  conducted  for  the  purpose  of  supplying  students  with 
such  merchandise  as  may  be  required  by  them  in  the  course  of  their 
business  transactions.  The  College  Produce  Company  and  the 
Merchants  Bank  are  the  principal  offices  of  the  Cabinet  System  and 
should  never  be  combined  with  other  offices.  Where  the  enrollment 
is  limited,  however,  this  office  may  be  conducted  in  connection  with 
the  American  Merchandise  Company.  A  sufficient  amount  of 
capital  should  be  furnished  this  office,  and  a  liberal  supply  of 
Merchandise  Cards  should  also  be  provided.  At  the  beginning  of  the 
school  year  when  a  large  number  of  students  are  enrolled,  the  teacher 
will  find  it  desirable  to  make  use  of  the  Made-out  Bills,  furnished  by 
the  publishers,  for  the  eighty-one  transactions  occurring  at  the 
beginning  of  the  work.  The  use  of  these  Made-out  Bills  will  relieve 
any  possible  congestion  and  enable  the  students  in  charge  of  this 
office,  and  the  American  Merchandise  Company,  to  handle  their 

[10] 


work  much  more  expeditiously .  It  must  be  borne  in  mind  that  the 
first  eighty-one  transactions  provided  for  in  the  Cabinet  System 
are  keyed,  and  all  of  these  transactions  are  performed  with  the 
several  offices.  By  the  use  of  the  Made-out  Bills  a  larger  number  of 
students  can  be  handled  with  less  delay,  as  the  making  out  of  bills 
for  each  purchaser  is  quite  a  task. 

The  College  Produce  Company  sells  merchandise  to  the  students 
at  certain  fixed  prices  and  discounts  from  the  face  of  cards,  Th 
office  should  allow  a  larger  discount  than  the  students  do  when  sell- 
ing to  one  another  or  when  dealing  with  the  other  offices,  otherwise  the 
students  cannot  conduct  their  business  at  a  gain.  The  College 
Produce  Company  does  not  buy  from  students  except  as 
directed  in  the  Business  Directions,  but  it  does  buy  from  the  Ameri- 
can Merchandise  Company  and  the  U.  S.  Commission  Company 
whatever  merchandise  may  be  necessary  to  keep  the  stock  well  up. 

The  introduction  of  new  ideas  is  not  the  purpose  of  this  office,  but 
rather  to  give  added  experience  along  lines  with  which  the  student 
is  already  familiar.  He  will  become  accustomed  to  using  such  books 
as  are  required  for  doing  a  large  volume  of  business.  The  principal 
books  prepared  by  the  publishers  for  the  College  Produce  Company 
are  the  Sales  book,  in  both  the  standard  ruling  and  in  the  Bill  and 
Charge  Form,  Purchase  book,  Journal,  Ledger,  and  Cash  book. 
By  the  Bill  and  Charge  System,  introduced  in  this  office,  the 
student  makes  out  the  bill  with  a  hard  lead  pencil  or  a  stylographic 
pen,  making  a  carbon  copy  at  the  same  time  the  bill  is  made  out. 
The  bill  is  perforated  so  that  it  may  be  torn  from  the  Sales  Book 
leaving  the  duplicate  sheet  intact.  These  duplicate  sheets  are  so 
ruled  that  the  extensions  may  be  carried  forward  from  page  to  page 
and  posted  at  the  end  of  the  week  or  at  the  close  of  each  day's 
business,  as  desired.  The  Sales  book  sheets  may  be  had  from  the 
publishers  in  either  permanent  or  loose-leaf  form.  The  Purchase 
book,  Journal,  Ledger,  and  Cash  book  are  of  ordinary  form, 
although  a  loose-leaf  Ledger  may  be  used  if  desired.  The  impression 
Copy  book  is  used  for  outgoing  correspondence,  while  the  Vertical 
Filing  Case  may  be  used  for  both  incoming  and  outgoing  correspon- 
dence. The  last  mentioned  plan  for  filing  correspondence  is  modern 
and  is  in  general  use  by  most  large  business  concerns.  The  Invoice 
book  is  used  in  this  office  also  as  a  book  of  original  entry. 

The  special  features  of  the  College  Produce  Company  are  the 
keeping  of  the  Bank  Account  in  the  Ledger  and  the  using  of  the 
Vertical  Filing  System.  If  preferred  the  Bank  Account  need  not 

[11] 


be  kept  in  the  Ledger,  but  the  Banking  Ledger  may  be  used,  or  any 
other  plan  the  teacher  may  wish.  This  office  affords  a  good 
opportunity  for  the  use  of  the  Sixteen -Column  Journal  in  place  of  the 
regular  standard  ruled  Journal,  if  the  teacher  desires  to  specialize 
and  emphasize  columnar- journal  work.  Instead  of  the  standard 
ruled  Ledger  or  the  loose-leaf  Ledger,  the  Debit,  Credit  and  Balance 
form  may  be  used.  Such  variation  of  account  books  may  be 
installed  in  this  office  as  the  teacher  may  desire  after  he  becomes 
familiar  with  the  work. 

Real  Estate  Office. — At  the  beginning  of  the  Cabinet  work  the  stu- 
dent is  instructed  to  apply  to  the  teacher  and  receive  the  money  with 
which  he  is  to  engage  in  business,  also  making  arrangements  to 
lease  his  place  of  business  for  a  period  of  three  months,  and  later  in 
the  work,  transaction  No.  82,  he  is  instructed  that  if  his  rent  is  due 
according  to  his  lease  to  pay  it.  If  not  due,  to  make  a  note  of  when 
it  should  be  paid  and  place  it  in  the  pioper  compartment  of  his 
Daily  Reminder.  Some  schools  have  a  Real  Estate  Office  for  the 
transaction  of  such  business,  others  arrange  to  have  it  transacted 
with  one  of  the  general  offices;  while  in  others  the  amounts  are 
simply  paid  to  the  teacher  who  keeps  no  account  of  them.  We 
would  suggest  that  if  the  school  does  not  wish  to  have  a  Real  Estate 
Office  that  arrangements  be  made  to  conduct  a  real  estate  office 
in  connection  with  the  American  Mdse  Co.,  letting  one  of  the 
teachers  in  charge  of  the  room  be  the  agent  who  conducts  the  office, 
but  having  the  students  in  charge  of  the  American  Mdse  Co.  do  all  of 
the  necessary  work  of  bookkeeping  and  filing.  When  the  student 
calls  on  the  teacher  for  his  capital  with  which  to  begin  business,  he 
should  be  given  the  $5,000  in  College  Currency  and  told  to  go  to  the 
Real  Estate  Office  and  make  arrangements  to  lease  his  place  of  busi- 
ness for  a  period  of  three  months,  obtaining  from  the  office  a  lease, 
properly  written  and  signed  by  the  agent,  the  student  signing  a  du- 
plicate lease  which  would  be  retained  by  the  Real  Estate  Office.  The 
lease  should  stipulate  that  the  rent  is  to  be  paid  on  a  certain  day  of 
each  month,  and  the  teacher  in  charge  should  see  to  it  that  this 
agreement  is  promptly  complied  with. 

Postoffice. — When  the  correspondence  work  is  reached,  it  may 
be  found  convenient  to  establish  a  Postoffice.  This  office  may  sell 
stamps  to  the  students  and  also  do  a  money-order  business.  Some 
schools  have  only  a  mailingbox  in  which  the  students  drop  the  letters 
when  properly  written.  These  are  matters  that  it  has  been  thought 
well  to  leave  to  the  judgment  of  the  individual  teacher. 

[12] 


The  local  postmaster  will,  no  doubt,  give  full  explanations  of  the 
rules  governing  the  conduct  of  a  Federal  postoffice.  This  informa- 
tion will  be  of  great  value  to  the  student,  not  only  for  his  school 
work,  but  for  the  expediting  of  business  through  the  mail  in  his 
work  in  actual  business  life. 

Auditing  Office. — In  addition  to  the  offices  already  named,  some 
schools  establish  an  Auditing  Department,  in  which  several  ad- 
vanced students  are  engaged  in  finding  errors  in  trial  balances,  tak- 
ing charge  of  the  books  of  students  that  have  failed,  making  opening 
entries  for  new  companies,  adjusting  disputed  claims  for  errors 
made  by  students,  making  up  Pay  Rolls,  and  in  doing  a  general 
line  of  advanced  work,  for  which  the  students  pay  a  uniform  scale 
of  prices,  commensurate  with  the  expert  knowledge  and  skill  nec- 
essary to  do  such  work. 

How  to  Handle  the  Offices.— The  first  step  should  be  the 
establishment  of  the  various  offices.  A  sufficient  number  of  the 
most  capable  students  should  be  placed  in  charge  of  these  offices, 
about  two  in  each  office  in  the  ordinary  sized  school,  and  given  full 
instructions  as  to  their  several  duties.  The  offices  should  be  cap- 
italized, incorporated,  organized,  and  the  business  duly  opened,  then 
when  all  is  in  working  order  the  students  of  the  Business  Community 
should  be  supplied  with  their  capital  and  allowed  to  begin  the  work 
as  outlined  in  the  Business  Directions.  The  number  and  character 
of  the  books  employed  in  the  various  offices  and  the  methods 
adopted  for  carrying  on  the  work  will  of  course  depend  somewhat 
upon  the  size  of  the  school  and  the  preference  of  the  teacher,  but  we 
would  suggest  that  the  books  as  designed  for  the  offices  and  as  fully 
described  in  our  catalog  be  adopted,  for  by  their  adoption  will  the 
best  results  be  obtained. 

Should  the  school  be  small,  one  bright  and  efficient  student  will 
be  able  to  do  the  work  at  each  office,  but  as  a  rule  it  is  found  better 
to  place  two  students  in  charge  and  sometimes  even  three  or  four. 

In  each  of  the  three  offices  some  provision  should  be  made  for 
keeping  the  Merchandise  Cards  properly  classified  so  that  any  re- 
quired kind  may  be  had  when  wanted,  and  for  this  purpose  we 
have  prepared  suitable  filing  devices. 

The  students  in  charge  of  the  various  offices  should  be  impressed 
with  the  fact  that  the  work  of  the  office  is  to  be  done  with  exactly 
the  same  neatness  and  despatch  as  in  any  business  house.  Daily 
Trial  Balances  should  be  taken  and  the  work  should  never  be  allowed 
to  get  behind  for  a  single  moment.  If  this  is  done,  the  very  best 

[13] 


results  will   be  obtained,  while  if   the  students  are  allowed  to  be 
careless  with  their  work  good  results  cannot  be  expected. 

How  to  Maintain  the  Offices — It  is  suggested  that  even  if  the 
establishment  of  the  bank  and  other  offices  be  assumed  at  the 
outset,  later  they  should  be  regularly  formed,  incorporated, 
organized,  and  maintained.  The  Guide  gives  full  directions,  pages 
158-210.  When  the  offices  are  established  it  is  suggested  that  the 
organization  be  maintained  by  the  election  of  a  new  Board  of  Di- 
rectors and  new  officers  at  regular  intervals.  All  proceedings  should 
be  governed  by  parliamentary  usages.  This  plan  will  add  great  in- 
terest to  the  work  and  provide  a  practical  and  valuable  training  for 
intelligent  participation  in  the  financial  and  business  affairs  of  the 
community  in  which  the  students  may  be  located  as  business  men. 

Inventory  of  Offices. — An  inventory  of  the  Merchandise  Cards, 
furniture  and  fixtures,  office  books  and  supplies,  etc.,  in  each 
of  the  offices,  should  be  taken  and  recorded  in  an  Inventory  book 
at  the  time  the  offices  are  first  opened,  and  also  at  every  change 
of  management. 

Insurance  and  Taxes. — Each  office  should  be  required  to  pay 
insurance  and  taxes  on  its  property  at  the  local  rate.  The  rate  of 
insurance  can  be  ascertained  from  a  local  insurance  company ;  and 
the  tax  rate  can  be  had  by  inquiring  at  the  city  or  county  treasurer's 
office 

How  to  Start  a  New  Student. — It  will  usually  be  found  well 
to  give  the  student  considerable  personal  attention  during  the 
first  hour  or  two  of  his  work,  as  this  will  give  him  confidence 
and  familiarity  with  his  surroundings.  Many  teachers  find  it  ad- 
visable to  have  the  student,  at  least  for  the  first  forty  or  fifty  trans- 
actions, give  or  receive  no  paper  without  first  bringing  it  to  the 
teacher  for  his  O.  K.  This  will  keep  the  teacher  in  closer  touch 
with  the  student,  and  will  also  give  the  student  more  confidence  in 
himself  for  future  work.  It  will  also  give  the  teacher  every  oppor- 
tunity to  correct  the  little  faults  in  their  incipiency,  and  not  leave 
them  to  become  fixed  habits  to  be  corrected  later. 

In  starting  the  student,  refer  him  to  the  instructions  in  the 
Business  Directions  and  impress  upon  him  that  these  Directions 
must  be  followed  to  the  letter,  and  in  the  exact  order  given.  Allow 
absolutely  no  transactions  outside  of  the  instructions.  See  that 
the  student  makes  his  opening  statement,  par.  16,  page  3,  Guide, 
and  his  opening  entry,  par.  17,  page  3,  correctly,  after  having  ob- 
tained his  cash  capital.  The  teacher  should  also  accompany  the 

[14] 


student  to  the  Bank,  and  see  that  the  Signature  book  or  Signature 
card,  as  the  case  may  be,  is  properly  signed.  The  student  should  also 
be  questioned  as  to  the  object  of  these  signatures.  It  would  be  well 
to  explain  to  the  student  that  for  the  first  few  days  nothing  is  re- 
quired of  him  but  to  follow  the  Directions  to  the  letter,  and  that 
very  soon  he  will  originate  his  own  transactions  and  manage  his 
business  for  himself. 

Caution  the  beginner  to  follow  his  Business  Directions  and  give 
him  the  Cabinet  or  the  first  Card  and  put  him  to  work. 

If  the  Cabinet  Device  is  Used. — When  the  student  receives  his 
stationery,  caution  him  about  turning  the  Cabinet  ahead  faster  than 
he  can  complete  the  transactions  and  directions  or  to  turn  it  back- 
ward, as  to  do  either  would  ruin  it.  Also  inform  him  that  if  he 
does  so  it  will  cost  him  $i  .00  for  anew  Cabinet.  The  publishers 
furnish  a  Reversible  Cabinet,  with  a  thumbscrew  at  both  ends,  per- 
mitting the  roll  to  be  turned  either  way  without  injury.  They  also 
provide  the  school  with  a  Book-Form  of  the  Cabinet.  Either  of 
these  furnish  the  teacher  ready  access  to  any  part  of  the  course  of 
study  or  directions.  Also,  if  a  Cabinet  is  accidentally  turned 
forward  beyond  the  proper  instruction  for  a  student,  the  teacher 
may  lend  his  Reversible  Cabinet  or  his  Book-Form  to  the  student 
until  the  proper  direction  has  been  reached.  However,  the  teacher 
should  be  fairly  convinced  that  the  Cabinet  was  turned  by  acci- 
dent and  not  by  intent  or  carelessness. 

If  the  Cabinet  Cards  are  Used.  —Start  the  student  by  giving 
him  Cabinet  Card  No.  i,  his  outfit  of  stationery,  blank  books,  and 
his  Guide,  and  instruct  him  to  follow  the  Directions  on  that  Card. 
Instruct  him  that  when  the  transactions  have  been  performed  and 
all  other  directions  carried  out  in  the  exact  order  given,  to-  return 
the  Card  to  the  teacher  and  call  for  the  next  consecutive  Card. 

Generally  it  will  be  found  better,  especially  in  the  early  part 
of  the  work,  to  have  the  student  post,  and  take  off  a  Figure  Trial 
Balance  (par.  336)  before  handing  in  his  Card.  With  the  careless 
student  this  may  be  found  expedient  with  each  Card,  while  the 
careful  student  may  be  allowed  greater  latitude;  but  these  are 
matters  that  it  is  thought  better  to  leave  to  the  judgment  of  the 
teacher,  who  is  familiar  with  the  circumstances. 

Rate  Sheet — To  bring  as  many  settlements  as  possible  within 
the  school  period,  and  thus  give  more  practice  than  could  other- 
wise be  had,  and  also,  to  minimize  the  teacher's  work  in  adjusting 
the  affairs  of  students  that  have  left  school  for  one  cause  or  another, 

[15] 


it  is  found  expedient  to  fix  short  periods  for  time  purchases,  sales, 
and  notes.  To  accomplish  this  and  to  have  all  the  students  under- 
stand the  basis  on  which  transactions  are  to  be  performed,  many 
schools  set  some  number  of  days  to  represent  schoolweeks,  or 
months ;  as  i  day  to  represent  a  schoolweek ;  4  or  5  days  to  repre- 
sent a  schoolmonth  or  30  days;  10  days  to  represent  two  school- 
months  or  60  days;  15  or  18  days  to  represent  90  days.  Any  di- 
visor giving  a  whole  number  for  a  quotient,  as  3,  5,  6  or  10,  may 
be  taken  as  the  divisor  of  30,  60,  and  90,  and  then  the  ratios  will 
be  10,  20,  and  30  days;  6,  12,  and  18  days;  5,  10,  and  15  days; 
3,  6,  and  9  days.  Or  arbitrary  ratios  may  be  set  as  the  teacher 
may  prefer.  But  it  must  not  be  forgotten  that  interest  on  notes 
is  to  be  counted  for  30,  60  or  90  days,  and  not  on  the  ratio;  al- 
though the  note  will  fall  due  in  53  10  or  15  days. 

In  the  Rate  Sheet  given  in  the  Course  of  Study,  the  ratios  are 
arbitrarily  set  at  5,  10  or  15  days,  but  of  course,  the  school  will  be 
at  liberty  to  fix  its  own  Rate  Sheet  on  any  ratio  it  may  prefer. 

The  teacher  may  run  as  many  variations  on  the  Rate  Sheet  as 
he  may  care  to  introduce;  for  example:  When  the  direction 
reads:  "Buy  Mdse  on  %,"  the  teacher  may  direct  the  students  in 
the  first  row  of  seats  to  buy  on  option  (a),  and  he  may  also  give 
the  number  of  the  card  or  cards,  as  first,  buy  two  cards  each  of 
Nos.  8  and  10 ;  next  Nos.  12  and  14,  etc. ;  the  students  in  the  second 
row  to  buy  on  option  (b)  and  to  buy  first,  cards  9  and  n;  next 
13  and  15,  etc.  Alternate  in  selling  on  same  or  different  options. 

Or,  if  the  teacher  does  not  care  to  specify  the  Mdse  card  or  cards, 
he  would  instruct  the  students  in  one  row  of  seats  to  buy  on  option 
(a)  and  to  sell  on  option  (b),  row  two  to  buy  on  option  (b)  and  to  sell 
on  option  (c),  etc.  Or  the  entire  school  may  be  instructed  to  buy 
one  day  or  one  week  on  one  option  and  to  sell  on  the  same  or  another 
option;  and  then  alternate  the  option  of  buying  and  selling.  The 
learner  must  remember  to  record  the  due  date  to  correspond  to 
the  option. 

Examinations — The  purpose  of  the  various  examinations  ac- 
companying the  Business  Directions  is  threefold : 

(1)  To  give  the  student  more  extended  training  in  the  mechan- 
ical work  of  bookkeeping. 

(2)  To  review  him  in  the  use  of  the  various  books  required  in 
the  business  preceding  the  examinations. 

(  3)     To  introduce  certain  exceptional,  but  occasionally  recurring, 

[16] 


business  transactions  that  could  not  well  be  brought  about  in  the 
course  of  the  business  of  the  school  community. 

While  any  of  these  examinations  may,  at  the  discretion  of  the 
teacher,  be  omitted,  it  is  not  thought  that  they  involve  any  too 
much  work  for  the  average  student.  It  must  be  remembered  that 
it  is  not  enough  for  the  student  merely  to  understand  the  require- 
ments of  bookkeeping,  he  must  be  so  thoroughly  drilled  in  them 
that  their  practice  becomes  second  nature.  This  can  be  accom- 
plished only  by  giving  the  student  much  material  for  practice . 

Keys — The  several  set  examinations  and  opening  entries,  which 
appear  in  the  Cabinet,  or  on  the  Cabinet  Cards,  are  keyed.  There 
is  also  a  key  to  the  first  eighty-one  transactions.  The  keys  to 
the  written  examinations,  especially,  will  be  found  very  helpful 
and  convenient  in  the  marking  of  manuscripts. 

First  Eighty-One  Transactions. — For  the  purpose  of  expediting 
the  work  and  quickly  fixing  the  fundamental  principles  of  book- 
keeping in  the  mind  of  the  student,  and  at  the  same  time  familiar- 
izing him  with  business  practice,  the  first  eighty -one  transactions 
are  with  the  offices,  and  are  fixed  and  keyed.  This  enables  the 
teacher  to  give  his  entire  time  to  directing  the  operations  of  the 
student  at  a  time  when  he  most  needs  special  directions. 

For  the  student's  operations  immediately  following  the  first 
complete  closing  of  the  books,  the  teacher  is  directed  to  par.  345, 
Guide,  and  to  "Suggestions  to  Students,"  in  the  "Business  Direc- 
tions. " 

Settling  Days. — It  will  be  found  advantageous  to  adopt  regu- 
lar "settling  days"  for  the  adjustment  of  all  unsettled  book  ac- 
counts. It  is  not  advisable  to  allow  such  accounts  to  run  for  a 
longer  time  than  two  weeks.  Some  schools  adopt,  as  settling  days, 
the  first  and  third  Fridays  of  each  month.  However,  all  such  mat- 
ters may  be  handled  by  the  Auditing  Department.  If  the  require- 
ments of  the  Rate  Sheet  are  strictly  adhered  to  there  will  be  little 
or  no  need  for  "Settling  Days." 

Copying  Press. — Each  school  should  be  supplied  with  a  copy- 
ing press  at  some  point  easily  accessible.  When  the  students  are 
told  to  order  goods  by  mail  and  to  write  letters  concerning  their 
business,  they  are  also  instructed  to  keep  a  copy  of  these  letters  in 
their  letter  copying  books.  In  order  to  do  this,  a  copying  press 
must  be  furnished. 

Posting  from  Copying  Books. —  Purchases  and    sales  may  be 

r\-~\  Teachers'  Manual-2 


posted  directly  to  the  Ledger  from  the  copying  books,  thus  greatly 
shortening  the  work. 

Shortening  or  Lengthening  the  Course.— Should  it  be  desired  to 
shorten  the  course,  this  may  be  done  by  omitting  one  or  more  of  the 
business  divisions,  or  the  examinations,  or  all  the  extra  opening 
entries  after  closing  the  books.  The  teacher  may  lengthen  jthe  course 
at  pleasure,  and  in  any  business  division,  by  requiring  more  actual 
business  work;  or  by  requiring  each  student,  before  leaving  school, 
each  afternoon,  to  take  Safeguard  Check  Figure  Trial  Balance,  and 
to  lay  on  the  teacher's  desk  total  debits  and  total  credits,  with 
check  figures  struck  out;  or  by  adding  a  set  or  sets  on  other  lines 
such  as,  Lumbering,  Manufacturing  or  Accountancy. 

Losses  and  Gains. — Since  the  school  is  purely  a  trading  com- 
munity, no  values  being  produced,  all  gains  must  be  offset  by  equiv- 
alent losses.  The  work  is  so  planned  that  the  students  are  able  to 
conduct  their  several  businesses  at  a  gain,  hence  the  losses  must  be 
borne  by  one  or  more  of  the  general  mercantile  offices.  The  distri- 
bution of  this  necessary  loss  may  be  regulated  by  varying  the  prices 
at  which  the  offices  sell  to  one  another. 

In  closing  the  books  for  these  offices,  some  schools  assume  an  in- 
ventory of  the  merchandise,  as  the  preparation  of  a  complete  and 
full  inventory  of  the  merchandise  cards  involves  considerable  la- 
bor. We  would  suggest,  however,  that  the  students  be  taught  to  do 
their  work  absolutely  correctly  and  that  nothing  be  assumed  or 
supposed,  and  that  where  the  books  of  the  office  show  a  loss  that 
they  be  closed,  showing  such  loss. 

Use  of  the  Blank  Books — It  is  found  better  for  the  stu- 
dent to  use  the  Blank  Books  early  in  the  work  even  though 
he  makes  some  blunders.  If  he  uses  journal  and  ledger 
paper  and  afterward  copies  all  his  work  in  his  books,  he 
will  lose  that  fueling  of  responsibility  which  is  so  necessary; 
besides,  his  books,  instead  of  showing  his  real  bookkeeping 
work,  will  show  nothing  more  nor  less  than  the  student's 
ability  to  copy.  In  view  of  this,  the  course  has  been  planned 
to  have  the  first  ten  transactions  recorded  on  journal  paper 
before  being  entered  in  the  Journal.  After  this  all  entries 
are  to  be  made  in  his  books,  unless  otherwise  instructed 
by  the  teacher. 

Report  Book — The  Report  Book  will  be  found  of  great 
convenience  to  the  teacher  in  inspecting  the  general  re- 
sults of  the  student's  work  at  the  close  of  any  business. 

[18] 


The  student  should  be  required  to  fill  out  a  page  of  the  Re- 
port Book  at  the  time  of  making  each  balance  sheet,  and 
the  teacher  should  see  to  it  that  the  amount  entered  under 
the  corresponding  letters  agree;  that  is,  all  amounts  marked 
"A"  should  agree  with  one  another;  also  the  "B's,"  "C's," 
and  the  "D's"  should  respectively  agree.  The  teacher 
should  also  see  that  the  miscellaneous  questions  at  the 
bottom  of  the  Report  Card  are  correctly  and  satisfactorily 
answered.  This  book  will  be  found  to  be  a  valuable  record, 
both  for  parent  and  teacher,  of  the  student's  time  and  the 
manner  of  employing  it. 

Organizing  a  Quiz — After  the  student  has  finished  the 
first  business  set,  and  has  become  somewhat  accustomed  to 
the  use  of  commercial  and  bookkeeping  terms,  his  actual 
business  practice  should  be  supplemented  by  frequent  and 
thorough  discussions  of  the  various  points  of  his  work, 
especially  upon  the  manner  of  journalizing  more  or  less 
complicated  and  unusual  transactions,  also  the  relation 
sustained  to  one  another  by  the  different  accounts,  and  the 
various  distinctions  between  different  classes  of  papers  and 
other  matters  of  special  review.  These  Quizzes  are  not  for 
the  purpose  of  introducing  new  ideas  or  terms,  but  to  test 
the  student's  knowledge,  and  to  fortify  his  memory  with 
respect  to  the  facts  already  brought  to  his  attention. 

To  handle  these  Quizzes  successfully,  assemble,  if  prac- 
ticable, the  entire  class,  and  ask  questions  of  the  students, 
first,  individually,  allowing  volunteers  to  correct  or  supple- 
ment the  first  answer,  thus  putting  individuals  on  their 
mettle.  After  full  discussion  by  the  class,  insist  on  exact 
and  formal  answers.  Both  the  Guide  and  the  Business 
Directions  should  be  taken  as  a  basis  for  these  Quizzes, 
and  they  should  be  held  two  or  three  times  a  week.  If  the 
clas§  is  large  and  composed  of  many  students  of  different 
degrees  of  advancement,  there  should  be  two  Quizzes  or- 
ganized. The  work  of  the  Quiz  may  be  varied  by  having 
a  "Query  Box"  into  which  students  may  drop  perplexing 
questions  during  the  intervals  between  the  Quizzes.  These 
Quizzes  have  proved  remarkably  helpful  and  valuable  in 
many  schools  where  they  are  organized. 

Use  of  Review  Questions. — After  a  considerable  number 
of  the  students  have  passed  over  the  subject-matter  covered 

[19] 


in  the  questions  on  page  61,  they  should  be  drilled  orally 
on  these  questions.  Later,  written  examinations  should 
be  required  on  these  questions.  Other  questions  in  the 
Guide  should  be  reviewed  in  the  same  way  before  written 
examination  on  them  is  required. 

This  method  will  show  the  students  how  to  develop  a 
subject  and  how  to  arrange  the  elements  on  the  basis  of 
logical  sequence.  If  this  is  properly  done,  the  teacher 
need  have  little  fear  that  his  students  "will  forget."  It 
will  also  develop  complete,  logical,  and  symmetrical  answers 
in  all  written  examinations,  and  furnish  the  basis  for  future 
study. 

This  matter  (and  also  the  Quizzes)  should  be  given  care- 
ful thought  by  the  teacher  before  he  begins  the  review.  The 
development  of  a  subject  by  skillful  questioning  is  the 
severest  test  of  a  teacher's  knowledge  of  practical  psychol- 
ogy. 

Opening  Entries. — The  student  is  required  to  write  open- 
ing entries  at  the  beginning  of  each  business  notwithstand- 
ing the  fact  that  in  most  cases  he  goes  on  using  the  same 
set  of  books  and  carrying  the  same  accounts  and  balances. 
The  reason  for  requiring  these  entries  is  that  the  student- 
needs  the  practice. 

Daily  Reminder. — The  value  of  this  device  (which  is  fully 
described  in  the  Guide,  page  53)  will  be  quickly  realized  by 
the  practical  teacher.  Its  use  makes  possible  a  great  va- 
riety of  transactions  regarding  time  papers,  which,  without 
it,  would  be  quite  difficult  of  regulation.  It  is,  moreover, 
a  device  that  is  coming  into  very  general  use  in  business 
offices. 

Student  not  Limited. — When  a  student  begins  the  Produce 
and  Provision  Business,  it  is  not  the  idea  that  he  should 
deal  in  produce  and  provision  only.  He  may,  and  should, 
continue  to  buy  from  others  and  sell  any  kind  of  Merchandise 
and  should  be  encouraged  to  make  purchases  and  sales 
outside  of  his  Business  Directions.  This  suggestion  applies 
to  all  the  general  business  divisions,  except  in  the  Voucher 
method. 

Daily  Balancing  of  the  Cash  Book. — There  is  a  tendency  on 
the  part  of  many  students  to  neglect  daily  deposits,  the 
daily  balancing  of  the  Banking  Ledger  and  the  Cash  Account, 

[20] 


and  especially  so  by  that  class  of  students  who  "never  do 
today  what  they  can  put  off  until  tomorrow."  The  teacher 
will  find  it  advantageous  rigidly  to  enforce  the  rule  of 
Daily  Balances.  Students  should  be  instructed  that  all 
money  received  during  the  course  of  the  day's  business 
should  be  deposited,  and  the  Banking  Ledger  closed  after 
the  day's  business  is  done;  that  all  posting  for  the  day 
should  be  carefully  checked,  the  Cash  Account  tested  and 
invoices  filed  and  everything  else  pertaining  to  the  day's 
business  completed  before  the  student  is  ready  to  leave  the 
school  at  night.  See  Testing  Cash,  page  81,  and  Daily  Cash 
Balance  book,  page  84. 

Daily  Figure  Trial  Balance. — Many  teachers  hold  the  stu- 
dents in  check  by  requiring  them  to  lay  on  the  teacher's 
desk,  each  afternoon  before  leaving  school,  a  Figure  Trial 
Balance.  See  par.  336,  page  54. 

Daily  Safeguard  Check  Figure  Trial  Balance. — Many  teach- 
ers, after  the  students  have  learned  the  use  of  the 
Safeguard  Check  Figure  Methods,  par.  634-636,  page  141, 
and  pages  231-235,  require  each  student  to  lay  on  the 
teacher's  desk,  each  afternoon  before  leaving  school,  check 
figure  proof  of  his  posting. 

To  do  this  an  extra  column  may  be  ruled  in  the  books 
of  original  entry  and  in  the  Ledger,  and  the  student  required 
to  carry  safeguard  figure  method  as  illustrated  on  page  234, 
Guide,  or  the  student  may  take  total  of  debits  and  credits 
of  Ledger  accounts  and  then  strike  out  the  check  figure. 

If  the  teacher  requires  the  Eleven  or  the  Thirteen  Check 
Figure  Safeguard  Method  to  be  carried  through  all  the  work, 
he  will  rarely,  if  ever,  be  called  on  to  help  a  student  on  trial 
balance. 

Conditional  Transactions. — Several  of  the  directions  to  the 
student  are  conditional;  thus  :  He  is  told  to  present  a 
note  for  payment  before  it  is  due,  offering  to  throw  off  the 
interest  in  consideration  of  the  prepayment,  provided  the 
payer  will  accept  the  offer.  These  conditional  transactions 
are  introduced  in  order  to  put  the  student  entirely  upon 
his  own  resources.  In  some  cases  it  will  be  well  for  the 
teacher  not  to  interfere  or  suggest  to  the  student  any  way 
out  of  the  difficulty,  as  the  purpose  of  the  transaction  is, 
as  above  stated,  to  teach  the  student  to  rely  upon  himself. 

[21] 


Payment  of  the  First  Six  Notes.  —The  first  six  notes  that 
the  student  issues  should  be  paid  according  to  the  Business 
Directions,  whether  due  or  not,  and  the  offices  to  which  they 
are  given  should  be  instructed  not  to  present  them  for  pay- 
ment. The  object  of  this  is  to  have  the  student's  early 
transactions  to  conform  to  the  Key,  and  if  the  notes  were 
paid  when  maturing,  without  reference  to  the  Business 
Directions,  the  student's  Journal  entries  would  not  corre- 
spond and  would  therefore  render  it  difficult  for  the  teacher 
to  check  over  the  entries. 

Discounting  Notes  at  the  Bank. — In  transaction  No.  73,  the 
student  is  instructed  to  discount  the  thirty-day  note  which 
he  just  received  from  the  College  Produce  Co.  at  the 
Bank,  and  in  transaction  No.  76  he  is  instructed  to  discount 
the  second  note  which  he  received,  having  the  net  proceeds 
placed  to  his  credit.  The  student  should  perform  these 
transactions  in  the  order  they  are  given,  and  in  order  to 
have  the  student's  Journal  entries  correspond  to  the  Key 
the  Bank  should  deduct  six  per  cent  from  the  face  of  the 
notes  for  the  time  for  which  they  are  given.  That  is,  thirty 
days  and  fifteen  days  respectively.  If  days  of  grace  are  al- 
lowed in  your  state,  these  notes  should  be  written  without 
grace.  After  these  first  two  notes,  the  discount  rate  of 
the  Bank  may  be  whatever  the  teacher  in  charge  desires. 

Transaction  No,  53. — In  transaction  No.  53,  the  student  is  told 
to  buy  Merchandise  of  the  U.S.  Commission  Co.  for  his  one-day  note, 
without  interest,  as  per  order  sheet  No.  15.  This  note  should  be 
paid  at  maturity,  without  instruction  from  the  Business  Directions 
to  that  effect.  This  note  should  be  written  without  grace. 

Transaction  No.  66. — The  student  is  here  directed  to  sell  to 
the  American  Merchandise  Co.,  subject  to  a  discount  of  three  per 
cent  if  paid  by  their  one-day  note.  The  amount  of  this  note  is 
$58 . 20,  and  the  student  should  be  instructed  to  present  it  for  pay- 
ment at  the  day  of  maturity.  This  note  should  be  written  without 
grace. 

Loan  by  Indorsement. — Where  the  student  secures  a  loan  of 
$5,000  by  finding  some  student  to  indorse  his  note  for  that  amount, 
the  effect  of  the  indorsement  is  simply  to  secure  payment  to  the 
banker,  as  the  indorser  will  have  to  pay  if  the  maker  refuses.  When 
the  note  is  taken  to  the  bank,  the  banker  in  this  case  usually  re- 
tains the  interest  on  the  note  for  his  compensation,  crediting  the 

[22] 


customer  with  the  full  amount  of  the  note.  The  entry  in  the  stu- 
dent's book  will  be  merely  Cash  to  Bills  Payable,  or,  if  the  banker 
charges  more  than  the  interest,  the  entry  will  be  Cash  and  Interest 
and  Discount  to  Bills  Payable. 

Call  the  student's  attention  to  the  fact  that  when  this  amount  is 
placed  to  his  credit  at  the  bank,  it  must  also  be  entered  in  his  Bank- 
ing Ledger.  This  note  being  simply  a  Bills  Payable  of  the  student 
who  made  it  out,  he  will  have  to  pay  it  when  due.  It  will  be  pre- 
sented to  him  by  the  banker  when  due,  in  which  case  he  should 
make  out  his  check  in  favor  of  the  bank  for  the  note,  plus  the  in- 
terest. 

Shipments. — If  the  school  is  quite  large,  it  will  be  found  advis- 
able to  establish  a  Freight  Office,  the  student  in  charge  being  re- 
quired to  sign  the  shipping  receipts,  make  out  the  freight  bills,  and 
keep  the  accounts.  If  the  freight  business  is  not  large,  the  teacher 
may  make  out  the  freight  bills  in  his  own  name,  or  delegate  this  task 
to  students.  If  desired,  the  Freight  Office  may  be  run  as  an  inde- 
pendent concern  under  some  appropriate  name,  as  "  General  Trans- 
portation Co.,"  being  incorporated,  or  the  office  may  be  treated  as 
a  branch  of  the  American  Mdse  Co.,  and  its  profits  turned  over  to 
that  concern.  The  business  methods  of  the  Freight  Office  should 
conform  to  local  customs.  As  a  rule,  the  freight  is  paid  by  the  con- 
signee. It  may  be  settled  for  in  cash,  or  charged  to  account.  Defi- 
nite instructions  to  the  students  have  been  purposely  omitted  in 
order  that  the  teacher  may  adopt  the  plan  that  to  him  seems  best 
adapted  to  the  conditions  of  the  school. 

Returned  Merchandise. — The  student  is  frequently  directed  to 
return  one  or  more  of  the  merchandise  cards  of  a  purchase,  on  the 
ground  that  "the  goods  are  not  up  to  sample."  The  purpose  of 
this,  is  to  raise  the  account,  Retd  Mdse,  and  to  give  the  student 
practice  in  closing  this  account  into  the  Mdse  Account,  both  "  Di- 
rect" (see  page  35)  and  by  "Journal  Entries"  (see  pages  37,  38). 
For  illustration  see  pages  244,  245. 

"Returns"  are  met  with  in  every  mercantile  line,  and  the 
handling  of  this  account  has,  and  is,  giving  more  bookkeepers  trou- 
ble than  any  other  account. 

Returned  Check. — The  check  given  to  the  teacher  for  "  assist- 
ance on  the  books ' '  should  be  retained  until  the  student  calls  for  it 
pursuant  to  a  subsequent  direction,  which  requires  the  student  to 
sell  the  teacher  a  bill  of  merchandise  for  cash,  receiving  in  part  pay- 
ment the  check  in  question.  Return  the  check,  but  without  in- 

[23] 


dorsement,  together  with  your  personal  check,  for  the  remainder  of 
the  bill.  The  question  for  the  student,  then,  is  what  to  do  with  his 
returned  check.  As  it  is  unindorsed  by  a  third  person,  the  bank 
would  not  care  to  receive  it  as  a  deposit.  So  far  as  the  student's  bank 
account  is  concerned,  it  is  the  same  as  if  the  check  had  never  been 
drawn ;  but  as  cash  was  credited  and  the  bank  account  in  the  Bank- 
ing Ledger  credited  when  the  check  was  issued,  he  should  be  able 
to  see  that  the  reverse  entries  are  required  when  the  check  is  re- 
turned, since  it  was  never  presented  at  the  bank  for  collection. 
Before  filing  the  check,  he  should  write  in  red  ink  across  its  face  the 
word  "returned,"  with  the  date.  Had  the  check  been  certified, 
however,  it  would  have  to  be  returned  to  the  bank  and  credited  to 
the  student's  account  the  same  as  a  deposit. 

Time  and  Sight  Drafts. — Authorities  differ  somewhat  on  the 
matter  of  classifying  drafts;  some  consider  both  time  and  sight 
drafts  as  Bills  Receivable,  while  others  consider  time  drafts  as  bills 
receivable  and  sight  drafts  as  cash.  Many  teachers  use  the  latter 
plan,  debiting  Bills  Receivable  for  all  time  drafts  at  the  time  of 
drawing  them,  and  debiting  cash  for  the  sight  drafts.  This  custom 
has  no  disadvantages  except  when  payment  is  refused;  then  it  is 
necessary  to  make  a  counter-entry. 

Increasing  Capital  by  Accommodation  Notes.— In  reopening 
the  Produce  and  Provision  books  after  the  first  closing,  the  respec- 
tive partners  are  instructed  to  increase  the  firm's  capital  by  means  of 
accommodation  notes.  Two  Journal  entries  are  required,  Bills 
Receivable  being  debited  and  each  partner  credited  as  in  the  fol- 
lowing entry  and  explanation : 

Bills  Receivable  1,000 

H.  B.  Burton,  Stock,  1,000 

For  accommodation  note  of  H.  S. 
Jones,  in  favor  of  H.  B.  Burton,  and 
indorsed  to  firm  for  increase  of  H.  B. 
Burton's  capital. 

When  these  notes  are  subsequently  returned  to  the  maker  with- 
out collection,  reverse  entries  are  required.  As  the  paper  is  for 
accommodation,  the  accrued  interest  is  not  considered.  The  ques- 
tion is  likely  to  arise  with  the  student  as  to  what  object  there  can 
be  in  increasing  the  capital  by  notes,  and  then  returning  them  uncol- 
lected.  In  answer  to  this,  it  may  be  said  that  business  men  some- 
times foresee  what  they  consider  to  be  an  opportunity  to  buy  a  job 
lot  of  goods,  provided  they  are  in  a  position  to  raise  the  cash  on 

[24] 


short  notice ;  however,  it  will  sometimes  happen  that  they  will  fail 
to  secure  the  expected  bargain,  and,  as  a  result,  have  no  use  for  the 
increased  capital  or  money  secured.  Explain  to  the  student  that 
the  notes  have  not  been  needed,  hence  are  returned. 

In  order  to  give  the  student  practice  in  working  out  such  prob- 
lems for  himself,  no  specific  instructions  have  been  given  him  re- 
garding the  entries,  and  such  information  should  not  be  given 
by  the  teacher  except  as  a  "  last  resort. " 

Real  Estate. — Where  the  student  is  instructed  to  withdraw  two 
thousand  dollars  from  the  firm  and  invest  it  in  real  estate,  he 
should  make  out  a  check  for  the  amount.  This  check  may  be  made 
payable  to  himself  and  then  transferred  by  indorsement ;  or  it  may 
be  made  in  favor  of  the  person  of  whom  the  real  estate  is  bought, 
but  should  be  charged  to  the  account  of  the  student,  no  entry 
being  made  for  the  real  estate,  as  it  belongs  to  the  student  in- 
dividually. 

He  is  presently  instructed  to  transfer  the  real  estate  to  the  firm 
as  its  property,  for  such  an  amount  as  will  net  him  a  profit  of  $150. 
He  should  then  debit  real  estate,  and  credit  himself,  for  the  proper 
amount. 

Antedating  and  Postdating. — The  transactions  requiring  pa- 
pers to  be  antedated  or  postdated  are  given  for  the  purpose  of 
suggesting  caution  regarding  the  proper  inspection  of  the  dates 
of  time  papers.  For  instance,  A  may  ask  B  to  sign  a  note  payable 
"thirty  days  after  date,"  but  which  has  been  antedated  thirty 
days,  thus  making  it  payable  immediately.  Also,  A  might  buy  goods 
of  B  and  give  a  note  payable  "sixty  days  after  date,"  but  which, 
being  postdated  thirty  days,  will  not  fall  Jue  until  ninety  days 
from  the  date  of  delivery.  Students  should  be  cautioned  to  notice 
the  dates  of  all  commercial  paper  which  they  either  receive  or  sign. 

Single  Entry.— The  author  has  followed  the  later  custom  of  de- 
ferring the  presentation  of  single  entry  bookkeeping  until  the 
student  is  fairly  familiar  with  double  entry.  It  is  believed  that 
this  course  greatly  simplifies  the  teaching  of  single  entry,  besides 
placing  the  subject  in  its  true  position  as  a  merely  subordinate 
scheme  of  account  keeping.  At  the  conclusion  of  this  set  the 
student  should  be  thoroughly  questioned  as  to  the  differences 
between  the  two  methods,  also  as  to  the  proper  procedure  in  chang- 
ing single  entry  books  to  double  entry,  and  vice  versa. 

Nine-Column  Journal— Dry  Goods  Business.— When  the  stu- 
dent reaches  this  point  of  his  Business  Directions,  the  teacher  should 

[26] 


refer  him  to  par.  553 — 561,  page  118,  and  the  references  thereon, 
After  studying  these  references  he  will  be  able  to  go  to  his  work 
understandingly  and  will  give  the  teacher  little  or  no  trouble . 

Sixteen-Column  Journal — General  Merchandise  Business.— 
When  the  student  reaches  this  point  in  his  work  the  teacher  should 
direct  him  to  make  a  careful  study  of  par.  620,  page  133  to  par. 
644,  page  142,  inclusive. 

Branch  Houses — When  the  student  has  reached  the  point  where 
he  is  directed  to  open  a  branch  house,  question  him  very  closely  in 
regard  to  what  is  given  in  the  Guide  on  this  subject.  He  furnishes 
the  branch  house  with  a  stock  of  merchandise  of  about  $5,000. 
This  he  should  charge  to  branch  house,  crediting  merchandise.  A 
bill  for  the  amount  should  be  sent  to  the  branch  house. 

In  many  cases  in  actual  practice  the  Main  House  requires  the 
Branch  House  to  make  daily  reports  as  directed  in  par.  642. 

Notes  for  Collateral  Security. — When  merchandise  is  sold  and 
a  note  is  given  as  collateral  security  for  the  payment  of  the  bill 
when  due,  the  bookkeeping  student  should  not  enter  the  note  in 
his  Bills  Receivable  Register,  or  open  an  account  for  it,  but  should 
make  a  memorandum  record  of  it. 

In  passing  a  note  over  to  a  creditor  as  collateral  security,  it 
should  bear  the  following  indorsement:  "For  value  received  I  here- 
by transfer  to  John  Smith  the  within  note  as  security  for  the  pay- 
ment of  $100,  due  ten  days  from  date,  with  authority  to  dispose  of 
said  note  in  case  the  amount  is  not  settled  when  due,  and  to 
devote  the  proceeds  to  the  payment  of  the  said  account.  Any 
amount  realized  over  and  above  that  necessary  to  meet  the  above 
account  to  be  returned  to  me."  See  indorsements,  page  222—223. 
This  does  not  vest  in  the  seller  of  the  goods  any  right  to  the  note 
except  on  the  above  conditions;  that  is,  if  the  debt  is  not  paid  at 
the  end  of  ten  days,  the  seller  can  dispose  of  the  note  and  devote 
the  proceeds  to  the  settlement  of. his  account.  An  indorsement 
of  this  kind  should  always  be  used,  as  it  prevents  the  holder  of  the 
note  from  discounting  or  otherwise  disposing  of  it  before  the  debt 
becomes  due. 

The  Toucher  Method — Tanning  Business  (pp.  145-157).— 
The  purpose  of  this  business  is  to  give  the  student  some  familiarity 
with  the  "Voucher  System"  of  accountkeeping,  a  method  that  is 
each  year  becoming  more  popular  in  manufacturing  and  other 
classes  of  extensive  business.  As  the  records  are  so  radically 
different  from  those  required  in  previous  businesses,  it  has  been 

[26] 


thought  best  to  furnish  in  the  Guide  facsimile  records  for  the  first 
part  of  the  student's  work.  In  order  to  give  time  for  the  maturity 
of  papers,  and  time  accounts,  without  unduly  enlarging  the  amount 
of  the  student's  work,  it  has  been  arranged  to  have  the  student 
carry  on  his  business  to  quite  an  extent. 

The  Modified  Toucher  Method. — This  method  of  accountkeep- 
ing  is  applicable  to  a  wide  range  of  businesses  (page  157),  and  the 
high  favor  and  the  increasing  demand  for  it,  in  connection  with 
the  Tell  Tale  and  Invoice  Register  (page  43)  will  warrant  the  teach- 
er— if  he  desires  to  do  it — in  carrying  the  student  through  several 
sets  by  this  method. 

Corporation. — The  work  outlined  in  this  department  is  merely 
suggestive  and  illustrative,  and  it  may  be  added  to  or  shortened 
as  the  teacher  may  prefer.  In  many  schools  the  students  are  re- 
quired to  form  additional  corporations  under  various  names  and 
for  various  purposes.  Students  that  have  not  yet  reached  the 
corporation  work,  may,  nevertheless,  be  stockholders  in  the  various 
corporations  organized  by  the  advanced  students. 

While  the  Business  Directions  do  not  specifically  require  that  the 
students  should  go  through  all  the  formalities  of  organizing  cor- 
porations, such  as  holding  meetings  of  stockholders,  electing  of- 
ficers, and  so  on,  the  requirement  of  such  formalities,  if  consistent 
with  the  conditions  of  the  school,  cannot  fail  to  be  most  helpful  in  af- 
fording the  student  much  practical  training.  As  the  laws  of  the  sev- 
eral states  differ  greatly  as  to  the  requirements  in  the  matter  of 
organizing  corporations,  it  has  not  been  fiasible  to  give  specific 
directions  that  would  be  applicable  in  all  parts  of  the  country. 

In  case  the  student's  profits  in  the  Corporation  Business  are 
found  to  be  too  large,  these  may  be  lessened  by  varying  the  re- 
quired rates  of  gain,  and  dividend  rates.  (See  "General  Outline," 
page  158,  and  "Two  Sets  of  Books,"  page  166.) 

Madeout  Invoices. — We  provide  a  Madeout  invoice  for  each 
purchase  called  for  in  the  first  eighty-one  transactions.  A  pad  of 
fifty  for  each  purchase  is  supplied.  This  will  furnish  a  Madeout 
invoice  for  a  class  of  fifty  beginners.  This  not  only  saves  the  time 
to  make  out  the  invoice,  but  it  insures  that  the  beginner  will  have 
a  model  invoice  for  each  of  his  first  twenty  purchases.  The  in- 
voices are  made  out  completely  except  the  date,  name  of  purchaser, 
and  receipt  of  seller  in  case  the  invoice  is  for  cash. 

The  supplying  of  Madeout  invoices  is  highly  commended  by 

[27] 


all  users  of  the   Cabinet    Method.     They  are  to  be  used  by  the 
students  in  charge  of  the  offices. 

Duplicate  Invoice. — If  the  teacher  desires  a  duplicate  of  each 
bill  or  invoice,  the  duplicate  may  be  had  by  the  use  of  a  carbon  sheet 
and  cheap  yellow  paper.  Triplicates,  quadriplicates,  or  quintri- 
plicates  may  be  had  in  the  same  way,  by  using  very  thin  paper. 

Special  Column  for  Transaction  Numbers. —  An  extra  column 
has  been  ruled  in  the  Cash  Book,  Journal,  and  Sales  Book  to  record 
the  number  of  the  transaction.  If  the  teacher  requires  the  number 
of  the  transaction  to  be  recorded  in  the  books  of  original  entry,  he 
can,  at  a  glance,  determine  whether  the  student  is  skipping  any  of 
his  transactions.  Some  teachers  prefer  to  have  the  folio  column 
placed  after  the  date  column,  while  others  prefer  it  to  precede  the 
money  column,  in  books  of  original  entry.  If  the  column  to  the 
right  of  the  date  column  is  used  for  the  folio  column,  then  the  col- 
umn to"  the  left  of  the  money  column  may  be  used  for  the  number 
of  the  transactions.  Or  the  order  may  be  reversed.  This  matter 
is  left  to  the  preference  of  the  teacher. 

Students  Leaving  School. —  When  a  student  leaves  school,  the 
teacher  should,  if  possible,  require  him  to  close  his  books,  pay  all 
liabilities,  and  if  possible,  convert  all  his  resources  into  cash;  failing 
to  do  this,  turn  over  what  is  left  to  the  teacher.  If,  however,  the 
student  leaves  on  short  notice,  and  is  unable  to  do  this,  endeavor 
to  have  him  leave  his  books  in  the  school  and  appoint  some  of  the 
students  to  wind  up  his  affairs  and  close  the  books.  If,  however,  as 
sometimes  happens,  the  student  leaves  suddenly,  taking  his  books 
with  him,  the  teacher  should  announce  to  the  school  that  he  will  pay 
all  outstanding  indebtedness  of  the  student,  also  that  he  will  receive 
all  payments  due  the  absent  student  from  other  students. 

If  the  school  has  an  Auditing  Department,  this  Department  takes 
charge  of  such  cases,  and  helps  the  student  to  liquidate  or  audits 
all  bills  and  administers  his  affairs  and  sends  the  absent  student 
any  residue. 

Typemachines  in  Offices. — Many  schools  make  practical  appli- 
cation of  the  use  of  shorthand  and  typewriting  in  modern  business 
by  placing  a  typemachine  in  one  or  more  of  the  offices,  and  giving 
actual  experience  to  the  advanced  shorthand  students.  This  will 
greatly  facilitate  and  expedite  the  work  of  the  offices. 

Teachers'  Training  Class. — If  the  school  has  students  prepar- 
ing to  teach  in  business  schools,  such  students  may  be  allowed  to- 
help  with  new  students. 

[28] 


1 

I  (Student's  name),  have  on  this  day  leased  the 
building  at  No.  10  Second  St.,  for  the  purpose 
of  conducting  a  General  Jobbing  Business, 
with  a  cash  investment  of  $5000. 

2 

I 

Cash 
(Student),  Stock 
For  Investment 

5000 

5000 

3 

2 

Expense 
Cash 
Rent  for  one  month,  check  No.  I 

100 

100 

4 

2 

Mdse 
Cash 
Gave  College    Produce    Co.    check  No.  2  for 
Inv.  No.  i 

207 

207 

2 

4 

Cash 
Mdse 
Am.  Mdse  Co.,  check  No.  13  for  Mdse  Sale 

123 

50 

123 

50 

2 

4 

Cash 
Mdse 
Am.  Mdse  Co.,  check  No.  17  for  Mdse  Sale 

95 

95 

4 

2 

Mdse 
Cash 
Gave  U.  S.  Com.  Co.  check  No.  13  for  Inv.  No.  2 

270 

270 

2 

4 

Cash 
Mdse 
Am.  Mdse  Co.,  check  No.  34  for  Mdse  Sale 

152 

152 

2 

4 

Cash 
Mdse 
Am.  Mdse  Co.,  check  No.  42  for  Mdse  Sale 

133 

133 

4 

2 

Mdse 
Cash 
Gave  College  Produce  Co.  check  No.  4  for  Inv. 
No.  3 

288 

288 

2 

4 

Cash 
Mdse 
Am.  Mdse  Co.,  check  No.  52  for  Mdse  Sale 

153 

60 

153 

60 

2 

4 

Cash 
Mdse 
Am.  Mdse  Co.,  check  No.  58  for  Mdse  Sale 

147 

20 

147 

20 

(29) 

FIRST      EIGH1 


JOURNAL 


14 

4 

Mdse 

243 

2 

Cash 

243 

Gave  U.   S.   Com.   Co.  check  No.  5  for  Inv. 

No.  4 

15 

2 

Cash 

190 

4 

Mdse 

190 

Am.  Mdse  Co.,  check  No.  107  for  Mdse.  sale 

16 

2 

Cash 

66 

5o 

4 

Mdse 

66 

50 

Am.  Mdse  Co.,  check  No.  112  for  Mdse   sale 

17 

4 

Mdse 

261 

2 

Cash 

261 

Gave  College  Produce  Co.  check  No.  6  for  Inv. 

No.  5 

18 

2 

Cash 

142 

50 

4 

Mdse 

142 

50 

U.  S.  Com.  Co.,  check  No.  n  for  Mdse  sale 

19 

2 

Cash 

135 

80 

Mdse 

135  1  80 

Am.  Mdse  Co.,  check  No.  122  for  Mdse    sale 

20 

4 

Mdse 

225 

2 

Cash 

225 

Gave  U.  S.  Com.  Co.  check  No.  9  for  Mdse  sale 

21 

2 

Cash 

126 

10 

4 

Mdse 

126    10 

Coll.  Produce  Co.,  check  No.  lofor  Mdse  sale 

22 

2 

Cash 

114 

4 

Mdse. 

114 

Am.  Mdse  Co.,  check  No.  132  for  Mdse    sale 

23 

4 

Mdse 

266 

80 

5 

Bills  Payable 

266 

80 

Gave  College  Produce  Co.  my  one  day  note, 

Bill  Reg.  No.  i,  for  Inv.  No.  7 

24 

2 

Cash 

145 

5° 

4 

Mdse 

145 

5<> 

U.  S.  Com.  Co.,  check  No.  36  for  Mdse  sale 

2  5 

2 

Cash 

140 

4 

Mdse 

140 

Am.  Mdse  Co.,  check  No.  174  for  Mdse  sale 

(301 

EIGHTY-ONE    TRANSACTIONS 
JOURNAL 


1 

26 

4 

Mdse 

216 

5 

Bills  Payable 

216 

Gave  U.  S.  Com.  Co.  my  one  day  note,   Bills 

Reg.  No.  2,  for  Inv.  No.  8 

27 

2 

Cash 

97 

4 

Mdse 

97 

Am.  Mdse  Co.,  check  No.  179  for  Mdse  sale 

28 

2 

Cash 

I3l 

60 

4 

Mdse 

I31 

60 

Coll.  Produce  Co.,  check  No.  33  for  Mdse  sale 

,.  , 

4 

Mdse 

263 

9° 

5 

Bills  Payable 
Gave  Coll.  Produce  Co.  my  one  day  note,  Bills 

263 

90 

Reg.  No.  3,  for  Inv.  No.  9 

3° 

5 

Bills  Payable 

266 

80 

2 

Cash 

266 

80 

Gave  College  Produce  Co.  my  check  No.  8  in 

payment  of  my  one  day  note  as  per  Bills  Reg. 
No.  i 

31 

6 

U.  S.  Com.  Co. 

281 

3° 

4 

Mdse 

281 

3<> 

20  brl     Flour                                                     5.00 

100 

3             Pork                                                    20.00 

60 

5             Pickles                                                20.00 

IOO 

5       "    Corn  Meal                                           6.00 

3° 

Less  3  % 

8 

70 

32 

4 

Mdse 

315 

5 

Bills  Payable 
Gave  College  Produce  my  one  day  note,  Reg. 
No.  4,  for  Inv.  No.  10 

315 

33 

5 

Billi  Payable 

216 

2 

Cash 

216 

Gave  U.  S.   Commission  Co.   check   No.   9  in 

payment  of  my  one  day  note  as  per  Bills  Reg.  2 

34 

6 

U.  S.  Com.  Co. 

252 

20 

4 

Mdse. 

252 

20 

10  brl     Beef                                                     12.00 

120 

10      ;    Salt                                                       4.00 

40 

10     "     Fish                                                       10.00 

IOO 

Less  3  # 

7 

80 

35 

5 

Bills  Pavable 

263 

90 

2 

Cash 

263 

90 

Gave  College  Produce  Co.  check  No.  10  in  pay- 

ment of  my  one  day  note  as  per  Bill  Reg.  3 

(31) 


FIRST  EIGHTY-ONE  TRANSACTIONS 
JOURNAL 


36 

7 

"  Am.  Mdse  Co. 

87 

3° 

4 

Mdse 

87 

10 

5    brl     Oatmeal                                              8.00 

40 

O 

10     "    Flour                                                   5.00 

50 

Less  3  % 

2 

70 

37 

4 

Mdse 

l89 

5 

Bills  Payable 
Gave  College  Produce  Co.  my  one  day  note, 

I89 

Bill  Reg.  No.  5,  for  Inv.  No.  1  1 

38 

5 

Bills  Payable 

3*5 

2 

Cash 

3T5 

Gave  College  Produce  Co.   check  No.    n   in 

payment    of    my    note    as    per     Bill     Reg. 

No.  4 

39 

7 

Am.  Mdse  Co. 

203 

70 

4 

Mdse 

203 

70 

5  brl     Pork                                                      20.00 

100 

5           Beef                                                       12.00 

60 

2           Fish                                                         10.00 

20 

5     "    Corn  Meal                                             6.00 

3° 

Less  3  % 

6 

30 

40 

4 

Mdse 

252 

5 

Bills  Payable 

252 

Gave  U.  S.  Com.  Co.  my  one  day  note,   Bill 

Reg.  No.  6,  for  Inv.  No.  12 

41 

5 

Bills  Payable 

189 

2 

Cash 

189 

Gave  College  Produce  Co.  check  No.  12  in  pay- 

ment of  my  note  as  per  Bill  Reg.  No.  5 

42 

7 

Am.  Mdse  Co 

155 

20 

4 

Mdse 

155 

20 

20  brl     Salt                                                      4.00 

80 

4        '    Pork                                                  20.00 

80 

Less  3  # 

4 

80 

43 

5 

Bills  Payable 

252 

2 

Cash 

252 

Gave  U.  S.  Com.  Co.  check  No.  13  in  payment 

of  my  note  as  per  Bill  Reg.  No.  6 

44 

6 

U.  S.  Com.  Co. 

116 

40 

4 

Mdse 

116 

40 

5    brl     Beef                                                    12.00 

60 

15     "    Lime                                                  4.00 

60 

Less  3% 

3 

60 

(32) 


4 
6 

Mdse 
Loss  and  Gain 
Gain  on  Mdse   on  closing  the  books,  Sept.  22, 

192 

70 

192 

70 

19 

6 

Loss  and  Gain 

100 

3 

Expense 
Loss  on  expense  on  closing  the  books,  Sept.  22, 

100 

6 

Loss  and  Gain 

92 

70 

i 

Student  Stock 
For  net  gain  on  closing  the  books,  Sept.  22,  19 

92 

70 

(83) 


Teachers'  Manual-3 


JOURNAL 
PAGE     0 

I 

H.  B.  Burton,  Stock 

5000 

2 

Cash 

5804 

30 

865 

v 

3 

4 

Expense 
Merchandise 

100 

765 

804 

30 

« 

6669 

3Q 

6669 

30 

SECOND  TRIAL  BALANCE 

I 

H.  B.  Burton,  Stock 

5000 

2 

Cash 

5714 

20 

729 

3 

Expense 

100 

4 

Merchandise 

1494 

1579 

20 



~  — 

— 

73QS 

20 

7308 

20 

TRIAL  BALANCE  AND  STATEMENT 

i 

H.  B.  Burton,  Stock 

5000 

2 

Cash 

5499 

30 

1502      70 

3 
4 

Expense 
Merchandise 

100 

2996 

70 

3189      40 

6 

U.  S.  Commission  Co. 

649 

90 

7 

American  Merchandise  Co. 

446 

20 

9692 

J2. 

9692 

10 

====  = 



1 

RESOURCES 

2 

Cash 

3996 

60 

6 

U.  S.  Commission  Co. 

649  ,  90 

7 

American  Merchandise  Co. 

446 

20 

5092      70 

H.  B.  Burton's  Present  Worth 

5°92 

70 

GAINS 

4 

Mdse  Sold 

3189 

40 

"      Cost 

2996 

70 

"      Gain 

I92 

70 

LOSSES 

3 

Expense 

100 

( 

H.  B.  Burton's  Net  Gain 



92    7° 

H.  B.  BURTON,  STOCK 

Cr.  by  Net  Investment 

5000 

"     "  Net  Gain 

92 

70 

5Q92 

70 

= 

= 

H.  B.  Burton's  Present  Worth 

= 

= 

5092 

70 

(34) 


JOURNAL                                                                                                                                                                                                                            PAGE    7 

Sep. 

30 

i 

2 

6 

7 

H.  B.  Burton,  Stock 
Cash 
U.  S.  Com.  Co. 
Am.  Mdse.  Co. 

3996 
649 
.446 

5092 

60 
90 

20 
JJO 

5092 

70 

5092 

70 

19 

Present  Worth 

5092 

70 

Sep. 

10 

1st,  2nd  and  3rd  T.  Bal. 

i 

5000 

Gain 

S 

92 

70 







5092 

12. 



5092  [70 

Present  Worth 

—  n~  ~- 

5092 

70 

Present  Worth 

5272 

47 

Gain 

179 

77 

5272 

47 

5272 

47 

" 

Present  Worth 

5272  |  47 

CASH 


I9 

19, 

Sep. 

10 

i 

5000 

Sep. 

10 

i 

100 

12 

i 

123 

50 

12 

i 

207 

i 

95 

i 

270 

i 

152 

13 

i 

288 

i 

133 

1st  Trial  Bal. 

865 

13 

i 

153 

60 

Balance 

4939 

jo 

i 

147 

20 



___ 

1st  Trial  Bal. 

, 

5804 

~3° 

58Q4 

"30 

Sep. 

14 

Balance 

4939 

3° 

Se^ 

~i7 

2 

243 

2 

190 

2 

261 

2 

66 

5° 

15 

2 

225 

15 

2 

142 

50 

2nd  Trial  Bal 

729 

2 

135 

80 

Balance 

49S5 

20 

2 

126 

10 

2 

114 

2nd  Trial  Bal. 

57H 

20 

5/14 

20 

SepT 

1? 

Balance 

4985 

2O 

SelT 

1 

3 

^J—L* 

266 

~So~ 

2 

145 

50 

3 

216 

2 

140 

18 

3 

;  263 

90 

3 

97 

19 

4 

3J5 

17 

3 

131 

60 

22 

4 

189 

28 

4 

252 

3rd  Trial  Bal. 

1502 

70 

Balance 

3996 

60 

= 

3rd  Trial  Bal. 

Balance 

5499 

"30" 

5499 

I 

JO 

3996 

60 

6 

304 

6 

414 

6 
8 

266 
1678 

TO 

7 
7 

207 
228 

8 
8 

58 
245 

2O 

76 

8 
8 

209 
360 

9 

132 

67 

8 

756 

395 

27 

5° 

NOTE  -For  compactness  in  making  up  the  pages,  the  year  date  was  omitted  after  somt 
of  the  double  rulings.     The  dates  standing  in  the  date  columns  were  assumed. 

(35) 


LEDGER 

C.XP 

KNSM 

PAGE    3 

19 

Sep. 

10 

1st,  2nd  and  3rd  T.  Bal.  1    j 
1= 

4- 

• 

•  

Loss                       5       ioo 

HP-  r 

MERCHANDISE 


19 

19 

Sep. 

12 

i 

207 

Sep. 

12 

123 

50 

i 

270 

95 

13 

1st  Trial  Bal. 

i 

288 
766 

152 

14 

2 

2 

1    243 
26l 

13 

11 

60 

20 

16 

2nd  Trial  Bal. 

2 

266 

216 

80 

14 

1st  Trial  Bal. 

2 
2 

804 
190 

66 

30 
50 

17 
19 

22 

3rd  Trial  Bal. 

Gain 

3 
3 
3 
4 
4 

5 

263 

315 
I89 
252 
2996 
I92 

90 

70 
70 

15 

16 

2nd  Trial  Bal. 

2 
2 
2 
2 

2 
2 

142 

135 
126 
114 

1579 
145 
140 

£ 

10 

20 

50 

3 

97 

17 

3 

60 

3 

281 

30 

18 

3 

252 

20 

4 

87 

30 

19 

4 

203 

70 

24 

4 

155 

2O 

4 

116 

40 





EE 

4^> 

3rd  Trial  Bal. 

3189 

40 

Sep. 

23 

~ 

414 

V 

446 

20 

6 

540 

6 

304 

6 

756 

6 

266 

6 

230 

6 

310 

40 

6 

240 

6 

310 

40 

6 

220 

6 

194 

6 

360 

6 

223 

10 

6 

I93 

50 

6 

232 

80 

Gain 

6 

135 

34 

6 

58 

20 

6 

97 

6 

58 

20 

6 

247 

6 

133 

6 

1  123 

67 

6 

-Jl 

J87. 

3088" 

"84 

3088 

84 

" 

" 

-" 

M*M^_ 

*"^"~ 

^^^^•^ 

""*"" 

— 



"'    •'"' 

(36) 


BILLS  PAYAHLE 


19 

19 

Sep. 

17 

3 

266 
216 

80  : 

Sep.  1  6 

2 

3 

266  80 
216 

18 

3 

263 

90 

17 

3 

263  90 

19 

22 

4 
4 

315 
189 

19 

3 
4 

315 
189 

28 

5 

252 

~ 

22 

4 

252 

1502 

j 



1502 

= 

"T 

"756" 

~6~ 

"756 

U.  S.  COM.  Co. 


19 

' 

Sep. 

17 

3 

281 

30 

6 

540 

19 

252 

20 

24 

4 

116 

40 

3rd  Trial  Bal. 

649 

90 

7 

232     80 

7 

97 

8 

123 

67 

AMERICAN  MDSE    Co. 


19 

! 

Sep. 

18 

4 

87 

30 

8 

11678 

10 

4 

203 

70 

I     • 

24 

4 

J55 

20 

3rd  Trial  Bal. 

446 

20 

6 

446 

20 

6 

310 

40 

6 

194 

7 

223 

IO 

7 

58 

20 

Loss  AND  GAIN 


19 



J9 

Sep. 

30 

Expense 
H.  B.  Burton 

5 
5 

100 

92 

7° 

Sep. 

30 

Mdse 

5 

I92 

70 

IQ2 

22. 

_i2i 

2°. 

Int.  and  Dis. 

9 

I 

57 

Mdse 

Q 

IIS 

34 

H.  B.  Burton 

9 

I7Q 

77 

Mdse   Discount 

9 

46 

— 

= 

= 

181 

3JL 

= 

= 

=; 

181 

Ji 

(37) 


LEDGER 

PAGE    3 

7 

58 

20 

8 

58 

20 

8 

247 

8 

247 

133 

8 

133 

PAGE  10                             COLLEGE  PROD.  Co. 

6 

310 

40 

6 

230 

7 

230 

7 

240 

7 

240 

7 

220 

8 

220 

9 

395 

27 

9 

84 

8? 

MDSE    Dis.                                      PAGE  ,, 

- 

Gain 

9 

46 

7 

23 

7 

12 

8 

II 

= 

= 

— 

46 

= 

— 

= 

= 

46 

= 

INT.  AND  Dis. 


19 

19 

Sep. 

23 

8 

I 

24 

Sep. 

23 

Loss 

9 

i 

57 

9 

33 

I 

57 

i 

57 

i 

(38) 


FIRST    EIGHTY-ONE    TRANSACTIONS 
JOURNAL 


1 

48 

4 

Mdse 

414 

2                Cash 

414 

Gave  College  Prod.  Co.  my  check  No.  14  for 

Inv.  No.  13 

49 

7 

American  Mdse  Co. 

446 

20 

4 

Mdse 

446 

2O 

20  brl     Flour                                                   5.00 

100 

12          Pork                                                    20.00 

240 

10          Beef                                                   12.00 

120 

Less  3  % 

13 

80 

4 

Mdse 

540 

6 

U.  S.  Commission  Co. 

540 

Bo't  Mdse    on  %  as  per  Inv.  No.  14,  io#  off 

from  list 

51 

2 

Cash 

3°4 

4 

Mdse 

304 

Am.  Mdse  Co.'s  check  No.  191  for  Mdse  Sale 

52 

2 

Cash 

266 

4 

Mdse 

266 

Coll.  Prod.  Co.'s  check  No.  38  for  Mdse  Sale 

' 

53 

4 

Mdse 

756 

5 

Bills  Payable 

756 

Gave  U.  S.  Commission  Co.  my  one  day  note 

Reg.  No.  7  for  Inv.  No.  15 

54 

7 

American  Mdse  Co. 

310 

40 

4 

Mdse 
40  brl     Flour                                                     5.00 

200 

3IO 

40 

6      "     Pork                                                    20.00 

1  2O 

Less  3% 

9 

60 

5  5 

9 

College  Produce  Co. 

40 

4 

Mdse 
20  brl     Salt                                                       4.00 

80 

3IO 

40 

20     "     Beef                                                     12.00 

240 

Less  3% 

9 

•60 

56 

7 

American  Mdse  Co. 

1  04 

4 

Mdse 

*  37T" 

194 

20  brl     Fish                                                     10.00 

200 

Less  3  % 

6 

5  7 

4 

Mdse 

9 

College  Produce  Co. 

230 

Bo't  Mdse    on  %  as  per  Inv.  No.  16,  10  days 
10  #  dis.,  otherwise  net 

(39) 


FIRST    CI8HTY-ONE     TRANSACTIONS 
JOURNAL 


c8 

7  ' 

American  Mdse  Co. 

223 

10 

0 

4 

Mdse 

223 

IO 

10  brl     Flour                                                     5.00 

50 

4      "     Pork                                                     20.00 

80 

5            Beef                                                    12.00 

60 

10          Salt                                                      4.00 

40 

Less  3  % 

6 

90 

r  Q 

4 

Mdse 

240 

o  y 

9 

College  Produce  Co. 

240 

Bo't  Mdse  on  %  as  per  Inv.  No.  17,  10  days  5% 

dis.,  otherwise  net 

60 

6 

U.  S.  Commission  Co. 

232 

80 

4 

Mdse 

232 

80 

10  brl     Fish                                                      10.00 

100 

3             Pickles                                                 20.00 

60 

10    "     Oatmeal                                             8.00 

80 

Less  3  # 

7 

20 

61 

4 

Mdse 

220 

9 

College  Produce  Co. 

220 

Bo't  Mdse  on  %  as  per  Inv.  No.  18,  10  days  5% 

dis.,  otherwise  net 

62 

9 

College  Produce  Co. 

230 

10 

Mdse  Dis. 

23 

2 

Cash 

207 

Gave  College  Produce  Co.  my  check  No.  15  in 
full  for  Inv.  No.   16  less  io#.     Discount  for 

Cash  10  days 

63 

7 

American  Mdse  Co. 

58 

2O 

4 

Mdse 

58 

2O 

10  brls.  Cornmeal                                            6.00 

60 

Less  3  % 

I 

80 

64 

6 

U.  S.  Commission  Co. 

O7 

4 

Mdse 

yt 

97 

20  brl     Flour                                                   5.00 

IOO 

Less  3  # 

3 

65 

9 

10 

.College  Produce  Co. 
Mdse  Dis. 

240 

12 

2 

Cash 

228 

Gave  College  Produce  Co.  my  check  No.  16  in 
full  for  Jnv.   No.   17  less  5$.     Discount  for 

Cash  10  days 

66 

8 

Bills  Rec.—  Reg.  No.  i 

58 

2O 

4 

Mdse 
3  brls.  Pork                                                    20.00 

O 

60 

58 

20 

Less  3  % 

i 

80 

(40) 


FIRST    EIGHTY-ONE    TRANSACTIONS 
JOURNAL 


67 

2 

Cash 

1678 

10 

7 

American  Mdse  Co. 

1678 

10 

Their  check  No.  204  in  full  of  acct  to  date 

68 

9 

College  Produce  Co. 

220 

10 

Mdse  Dis. 

II 

2 

Cash 

209 

Gave  College  Produce  Co.  my  check  No.  17  in 

full  for  Inv.  No.  18,  less  5  %.    Cash  10  days 

69 

4 

Mdse 

360 

2 

Cash 

360 

Gave  American  Mdse  Co.  my  check  No.  18  for 

Inv.  No.  19 

5 

Bills  Payable 

756 

2 

Cash 

756 

Gave  U.  S.  Commission  Co.  my  check  No.  19 

in  payment  of  my  note  as  per  B  Reg.  No.  7 

2 

Cash 

58 

20 

8 

Bills  Rec. 

58 

20 

American  Mdse    Co.'s  check  No.  213  in  pay- 

ment of  their  one  day  note,  Reg.  No.  i 

7° 

8 

Bills  Rec.—  Reg.  No.  2 

247 

4 

Mdse 

247 

10  brl     Beef                                                     12.00 

120 

10    '      Salt                                                        4.00 

40 

10     "     Fish                                                      10.00 

100 

Less  5  % 

13 

71 

8 

Bills  Rec.—  Reg.  No.  3 

133 

4 

Mdse 

133 

5  brl     Pickles                                                  20.00 

IOO 

5      '    Oatmeal                                                8.00 

40 

Less  5  % 

7 

72 

4 

Mdse 

193 

50 

2 

Cash 

193 

50 

Gave  American  Mdse  Co.  my  check  No.  20  for 

Inv.  No.  20 

* 

73 

2 

Cash 

245 

76 

r  i 

Int.  and  Dis. 

i 

24 

8 

Bill  Rec. 

247 

Discounted  at  Mer.  Bank  College  Produce  Co.'s 

30  day  note,  Reg.  No.  2,  net  proceeds  placed 

to  my  credit 

74 

6 

U.  S.  Commission  Co. 

123 

6? 

4 

Mdse 

123 

67 

30  Cords  Fir  Wood                                         4.  25 

127 

50 

Less  3  £ 

3 

83 

(41) 


75 

9 

College  Produce  Co. 

84 

87 

4 

Mdse 

84 

87 

25  Cords  Spruce  Wood                                  3.50 

87 

50 

W*T 

*•'/ 

Less  z% 

2 

63 

76 

2 

Cash 

132 

67 

1  1 

Int.  and  Dis. 

33 

Bills  Rec. 

J77 

Discounted  at  Mer.  Bank  U.S.  Com.  Co.'s  15 

•*O«3 

day  note,  Reg.  No.  3,  net  proceeds  placed  to 
my  credit 

77 

2 

Cash 

395 

27 

9 

College  Produce  Co. 
Rec'd    College  Produce  Co.'s  check  No.  46  in 

395 

27 

full  for  acct  to  date 

4 

Mdse 

135 

34 

6 

Loss  and  Gain 

135 

34 

Gain  on  Mdse  on  closing  the  books,  Sept.  25, 

19 

10 

Mdse   Dis. 

46 

6 

Loss  and  Gain 

46 

Gain  on  Mdse  Dis.  on  closing  the  books,  Sept. 

25,  19 

6 

Loss  and  Gain 

i 

57 

1  1 

Int.  and  Dis. 

i 

57 

Loss  on  Dis.  on  closing  the  books,  Sept.  25,  19 

6 

Loss  and  Gain 

179 

77 

i 

(Student)  Stock 
Net  Gain  of  the  business  on  closing  the  books, 

179 

77 

Sept.  25,  19 

NOTE.- 
may  have  hi 

-If  the  teacher  prefers  to  have  all  the  closing  entries  ma 
s  students  make  them  as  follows: 

deby 

Jou 

rnal  entry,  he 

For  first  closing: 

1 

H.  B.  Burton,  Stock,  or  Present  Worth 

5002 

Z° 

H.  B.  Burton,  Stock,  or  Present  Worth 

5092 

7° 

Cash,  Balance 

4939 

3° 

Cash,  Balance 

4939 

3° 

For  second  closing:: 

H.  B.  Burton,  Stock,  or  Present  Worth 

5272 

471 

H.  B.  Burton,  Stock,  or  Present  Worth 

5272 

17 

Cash,  Balance 

4985 

20 

Cash,  Balance 

4985 

20 

For  third  closing  of  cash: 

Cash,  Balance 

3996 

60 

Cash,  Balance 

3996 

60 

In  event  all  closing  entries  are  journalized  and  posted,  then  all  entries  in  the  Ledger  will 
appear  as  haying  been  posted  from  a  book  of  original  entry,  and  reference  may  be  given  for 
every  entry  in  the  Ledger.  See  pages  37-38  Guide.  Note  that  the  student  is  to  follow  his 
teacher's  preference,  and  close  direct  or  by  Journal  entry,  as  the  teacher  may  prefer. 

(42) 


JOURNALIZING  EXAMINATION 

(1)  Expense  to  cash $150.00 

(2)  Mdse   to  Cash 1 23  . 40 

(3)  Mdse   to  Bills  Payable 560 . 50 

(4)  Mdse   to  Redner  Bros 67  . 80 

(5)  Bills  Receivable  to  Mdse 120.25 

(6)  Mdse   to  Bills  Payable 142  .00 

(7 )  L.  E.  Haywood  to  Mdse 42  .  20 

(8 )  Cash  to  Mdse 360  .  oc 

(9)  Bills  Receivable  to  Mdse 562  .80 

(10)  Mdse  to  Bills  Payable 335  .00 

( 1 1 )  Expense  to  Cash .50 

(12)  Expense  to  Cash 4  . 50 

(13)  Expense  to  Cash 7-25 

(14)  Bills  Receivable  to  Mdse 190 . 60 

(15)  No  entry,  only  record 

(16)  A.  B.  Curtis!  60.00 
Cash  300.00 

To  Mdse 360 .  oo 

(17)  Mdse  to  G.  G.  Gill*    12.25 

(18)  Cash  to  Mdse 254.00 

(19)  Mdse   to  Bills  Payable 725  .00 

(20)  Mdse   to  Cash no.oo 

(21)  Redner  Bros,  to  Cash 50.00 

(22)  A.  B.  Mills  to  Cash 135  .00 

(23)  Bills  Receivable  to  Mdse 35-7° 

(24)  Cash  to  L.  E.  Haywood 30  .00 

(25)  Bills  Receivable  to  Mdse 46.50 

(26)  Mdse  $27.80 
Interest  and  discount        .10 

To  Cash 2  7  . 90 

(27)  Cash  $10.00 
Bills  Receivable     25.00 
H.  M.  Dunn  8.60 

To  Mdse 43  •  60 

^28)   Mdse   to  Cash 120.50 

*  A  Due  Bill  is  an  informal  memorandum  or  agreement.  Suit  on  a  Due  Bill  would  not 
lie.  Suit  would  have  to  be  brought  on  account;  therefore,  the  entry  should  be  on  account. 
See  page  217,  Guide. 

(43) 


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J.  W.  J.  deeds  over  to  the  firm  real  estate  pu 

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SALES  BOOK 


PRODUCE    AND    PROVISION 


19 

Feb. 

2 

15 

C.  E.  Hendricks 

loo  Bbl     XX.  Flour 

5-40 

540 

2  Bbl     C. 

Sugar,  488  Lb     net                            .03^ 

17 

08 

10  Bbl     Pork 

9.00 

9° 

647 

08 

3 

16 

Shipment 

No.  i 

Shipped  to  A.  A.  Allen, 

Alma,  Mich., 

100  Bbl     XX.  Flour 

5-50 

550 

5 

19 

E.  Freeman 

10  Bbl     Golden  Syrup, 
20  Bbl     N.  O.  Molasses 

430  Gal    net                      .56 
877  Gal   net                    .75 

240 
657 

80 

75 

898 

55 

10 

,7 

Shipment  No.  2 

Shipped  W.  M.  Fowler,  Big  Rapids,  Mich., 

25  Bbl    XX.  Flour 
250  Bu.  Potatoes 

5.6o 
.26 

140 
65 

205 

II 

2 

Bills  Receivable 

n6 

75 

For  G.  E. 

Daley's  note 

22 

2 

Bills  Receivable 

06 

Sold   to  Wm.  Clark  for  his  draft  on  C.  J. 

Jefferson 

14 

W.  B.  Balcom 

10  Bbl     Split  Peas,  4480  Lb     net                     .02^ 

112 

18 

Mdse  Cr. 

264^ 

18 

—  —  « 

PRODUCE   AND  PROVISION 

J 

.  W.  JAMESON,  STOCK 

Feb. 

18 

J  103 

2000 

Feb.     i                               J  99 

4526       82 

25 

J  104 

IOOO 

15                              J  102 

IOOO 

29 

J.W.J.,  Private 

Li 

2526 

82 

5526 

82 



5526    82 

J. 

W.  JA 

MES( 

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PAGK  1 

Fel 

29 
29 

(Cash) 
(Bills  Payable) 

J  103 

2OO 
IOOO 
3914 

_9_2 

19 
Feb.  20                             J  104 
2  9  Loss  and  Gain  L  1  1 

29  J.W.J.  Stock    L  i 

2200 

388     10 

2-126       82 

5U4 

92 

5114        92 

[50 


KXAMINATION-LKDOIft 


H.  B.  BURTON,  STOCK 


F& 

25 

]  104 

1000 

Feb. 

i 

, 

J  99 

4526 

82 

2Q 

Bal. 

4914 

92 

'5 
29 

II.IUJ.  Private 

J  102 

1OOO 

388 

10 



__ 



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()2 



__ 

5914 

92 

Mch 

, 

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L   22 

4914 

<>-• 

H.  B.  BURTON,  I  *  HI  v  ATE 


19 
Feb. 


H.B.B.Stock 


Li 


388 


10 


Loss  and  Gain 


Ln 


388     10 


BILLS  RECEIVABLE 


Pel 

j 

99 

<;8o 

5° 

& 

8 

101 

526 

82 

i 

99 

756 

50 

1  1 

f  101 

756 

5° 

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526 

82 

12 

102 

IOO 

6 

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17 

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980 

5° 

10 

101 

15° 

25 

104 

2OOO 

•3 

102 

45° 

25 

104 

45° 

15 

102 

IOOO 

26 

104 

136 

75 

IS 

102 

1000 

29 

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3*1 

24 

104 

75 

1  1 

Si  06 

136 

75 

22 

Si  06 

96 

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527  1 

57 

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5271 

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L.22 

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99 

39 

72 

101 

8 

33 

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6 

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5 

103 

3 

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8 

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104 

2 

24 

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86 

I05 

I 

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I05 

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= 

7^> 

46 

Feb. 


[3 
24 
25 

26 

27 

2Q 


Loss  and  gain 


[52] 


102 
IO2 


104 

104 


LIT 


41 


61 
90 
33 
45 
68 

75 
74 


REAL  ESTATE 


•RODUCC   AND    PROVISION 
«X  AMI  NATION -LEDGER 


Feb. 

; 

J  99 

2500 

19 

Feb. 

29 

Invry 

4900 

20 

J  104 

22OO 

2Q 

Loss  and  gain 

L  ii 

2OO 

4900 

4900 

Mc9h 

I 

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L  22 

4900 

FeL 

i 

99 

200 

19 
Feb. 

2S 

J  i°4 

10 

1 

100 

35 

2Q 

Invry 

20 

13 

102 

25 

29 

Loss  and  gain 

Ln 

330 

19 

103 

5° 

20 

103 

5o 

360 

3^0 

r9 

Men 

I 

Bal. 

L22 

20 

FURNITURE  AND  FIXTURES 


Feb. 
Mc9h 

i 

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Bal. 

J    99 

L    22 

27 

19 

Feb. 

29 
29 

Invry 
Loss  and  gain 

Ln 

21 

5 

60 

21 

27 

60 

CHATTELS 


FeL 

J    99 

275 

IQ 

Feb. 

29 

Invry 

233 

75 

29 

Loss  and  %<ii> 

Ln 

4i 

25 

2  75 

_!7JL 

Mcli 

i 

Hal. 

L   22 

233 

75 

[53] 


F.  HAINES 


PRODUCE    AND    PROVISION 


PAGE  8 

~M>. 

3 

]  IOO 

50 

Feb. 

2 

J  IOO 

537 

20 

4 

J  100 

200 

2Q 

Bal. 

287 

20 

537 

20 

537 

20 

Men 

I 

Bal. 

L  22 

287 

2O 

BiLL8  PAYABLE 


Fe'b. 

6 

]  IOI 

5000 

J9 
Feb. 

i 

J  99 

75° 

6 

J  IOI 

400 

i 

99 

5000 

16 

J  103 

500 

2 

IOO 

780 

40 

27 

J  I05 

280 

40 

3 

IOO 

36,5 

95 

27 

J  105 

365 

95  j 

4 

IOO 

200 

27 

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200 

8 

IOI 

500 

29 

Bal. 

4804 

52 

19 
29 

(J.W.Jameson) 

103 

39 
39i4 

60 
92 

H550 

21 

11550 

•87 

,   i 

*9 

\   . 

Mch 

i 

Bal. 

L  22 

4804 

52 

J.  W.  HILL 


i 

Feb. 

8 

IOI 

500 

Feb. 

i 

J  99 

275 

10 

IOI 

40 

38 

6 

, 

J  IOI 

680 

40 

1  1 

IO2 

798 

1  1 

29 

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658 

09 

27 

I05 

2  75 

^^___ 





1613 

49 

^____ 





1613 

.49 

ig 

Mch  j  i 

Bal. 

L  22 

658 

09 

Loss  AND  GAIN 


I9 
Feb. 

12 

IO2 

IOO 

Feb. 

29 

Real  Estate 

L     4 

200 

29 
29 
29 

Int.  and  Dis. 
Expense 
Fur.  and  Fix. 

-     3 

:.   6 

23 
330 
5 

74 
40 

29 
29 

Shipm't  No.  2 
Mdse 

L  17 
L  18 

4o 
1061 

50 
09 

29 

Chattels 

L     7 

25 

29 

Shipm't  No.  1 

L  16 

25 

29 

J.  W  J.  Private 

L     i 

388 

10 

29 

H.B.B.Private 

L    i 

388 

10 

| 

i 

__ 

I3°I 

59 







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[54] 


G.  E.  DALEY 


PRODUCE    AND    PROVISION 


ig  i 

^9~ 

Feb.  !  1  2 

J  IO2 

20O 

Feb. 

4 

J  100 

465 

3° 

2Q 

Bal. 

265 

3° 

465^ 

3° 

_^4_6JL 

-32 

Mch 

i 

Bal. 

L  22 

265 

30 

C.  R.  BELL 


t  Q 

19 

Feb.  27 

J  105 

433 

75 

Feb. 

i 
9 

J    99 

J  IOI 

i43 
290 

75 

— 

= 

i 

=Mi 

•tt 

= 

= 

— 

=43J= 

PAGE    1 

4 

il 

w. 

B.  BALCOM 

Feb. 

22 

Bal, 

Sio6 

112 

773 

Pel 

i 
ii 

J    99 

J  IO2 

560 
213 

30 

26 

Jl04 

112 

885 

30 

00  - 

3° 

Mcli 

• 

Bal. 

L    22 

773 

C.  E 

HENDRICKS 

PAGE    18 

19 
Feb. 

2 

Sio6 

647 

08 

Feb. 

3 

J  IOO 

5° 

9 

J  IOI 

200 

27 

Jios 

272 

25 

27 

105 

124 

83 

647 

08 

647 

08 

SHIPMENT  No.  1 


19 
Feb.  3 

Sio6 

55° 

Feb. 

5 

12 

]  IOO 
Jl02 

200 

2Q 

Invry 

I5° 

29 

Loss  and  gain 

L  n 

25 

=  —  - 

-_- 

S?° 

— 

__ 



_____ 

550^ 

___ 

Mch 

i 

Bal. 

L  22 

I5° 

[55] 


PRODUCE    AND    PROVISION 
EXAMINATION-LEDGER 


SHIPMENT  No.  2 


« 

IO 

29 

8 

Loss  and  gain 

Sio6 
Ln 

205 

40 

j£ 

RCH 

Feb. 

ANDI 

IO 

27 
SB 

Jl  OI 

J  105 

95 

1 

ME 

PAGF    1 

Fel 

29 

20 

Total  Purch's 

Ret'd  Mdse 
Net  Purchases 
Loss  and  gain 

Bal. 

L  20 
Ln 

7187 
7187 

1061 

60 

~6o 
J8 

22 

.£2 
91 

19 

Feb. 

29 
29 

29 
29 

Total  Sales 
Ret'd  Mdse 
Net  Sales 

Invry 

Jios 
Sio6 

L  20 

2339 

4984 
18 

57 

95 

.11 
40 

M 

4966 
3241 

8208 

8208 

Mc9h 

I 

L22 

3241 

E.  FRBBMAN 


Fei 

5 

Sio6 

898 

55 

F& 

8 

]  101 

18 

55 

16 

J  i°3 

327 

25 

1  7 

Jio3 

IOO 

18 

407 

60 

29 

Bal. 

£5 

JC 

898 

JL5 

898 

55 

Mc9h 

i 

Bal. 

L  22 

45 

7, 

RET'D  MDSE 


19 

i 

Feb. 

8 
29 

Mdse 

J  101 

L  18 

18 

40 

Jl 

Fe 

5,8 

^9J 

?= 

[56] 


J  IOI 

L  18 


40     38 

ILJ* 

58 


PRODUCE    AND    PROVISION 
EXAMINATION-LEDGER 


CA3H 


F& 

29 

Ji°5 

13639 

79 

Fe'b. 

29 

J  106 

11186 

05 

29 

(J.W.Jameson) 

IOOO 

2Q 

Bal. 

1453 

74 

______ 

___ 

______ 

1.3639 

-19 



___, 



13639 

79. 

Mc9h 

' 

Bal. 

1453 

74 

BALANCE  OF  BALANCES,  OR  BALANCE  SHEET 


F& 

29 

Bills  Rec. 

L       2 

321 

I 

Feb. 

29 

F.  Haines 

L    8 

287 

20 

29 

29 

Real  Estate 
Expense 

L     4 

L     5 

4900 

20 

29 

29 

G.  E.  Daley 
W.  B.  Balcom 

L    12 

Li4 

265 
773 

30 
30 

29 

Fur.  and  Fix. 

L    6 

21 

60 

29 

Bills  Pay. 

L     q 

4804 

S2 

29 

Chattels 

L     7 

333 

7S 

29 

H.  B.  B.  Stock 

L     i 

4914 

92 

29 

J.  W.  Hill 

L  10 

558 

oq 

29 

Shipm't  No.  1 

L  16 

I5P 

29 

Mdse 

L  18 

3241 

9i 

29 

E.  Freeman 

L   21 

45 

IS 

29 

Cash 

L   21 

I4.S3 

74 

= 

= 

1104^ 

=H 

= 

1104  5 

•M. 

[57] 


FEBRUARY  29,  19 


PROD     ANDPROV. 
EXAMINATION 


. 

TRIAL  BALANCE  AND  STATEMENT 

i 

J.  W.  Jameson,  Stock 

3000 

5526 

82 

i 
i 

J.  W.  Jameson,  Private 
H.  B.  Burton,  Stock 

200 
IOOO 

— 

22OO 
5526 

82 

2 

Bills  Receivable 

5271 

57 

495° 

57 

3 

Int.  and  Dis. 

76 

46 

52 

72 

4 

Real  Estate  (Invry  $4900) 

4700 

5 

Expense  (Invry  $20) 

360 

IO 

6 

Fur.  and  Fix.  (Invry  $21.60) 

27 

7 

Chattels  (Invry  $233.75) 

275 

8 

F.  Haines 

250 

537 

20 

9 

10 

Bills  Payable 
J.  W.  Hill 

6746 
1613 

35 
49 

7635 
955 

95 

4° 

1  1 

Loss  and  gain 

IOO 

I  2 

G.  E.  Daley 

200 

465 

30 

14 

W.  B.  Balcom 

112 

885 

3° 

16 

Shipment  No.  1  (Invry  $150) 

55° 

375 

18 

Shipment  No.  2 
Mdse  (Invry  $3241  .91) 
E.  Freeman 

205 
7187 
898 

60 

55 

245 
4984 

853 

50 

95 
40 

20 

Retd  Mdse 

18 

55 

40 

33 

21 

Cash 

13639 

79 

11186 

05 







46431 

36 

•643! 

36 

STATEMENT 

PERSONAL  ACCTS  DR.  AND  CR. 

8 

F.  Haines 

287 

20 

10 

J.  W.  Hill 

658 

09 

12 

G.  E.  Daley 

265 

30 

14 

W.  B.  Balcom 

773 

3° 

19 

E.  Freeman 

45 

15 

t 

703 

24_ 

1325 

80 

rzzzr  """" 

= 

RESOURCES 

— 

Personal  Accts  Receivable 

7°3 

24 

4 

Real  Estate 

4900 

5 

Expense 

20 

t> 

Fur.  and  Fix. 

2  I 

60 

7 

Chattels 

233 

75 

16 

Shipment  No.  1 

18 

Mdse 

3241 

91 

21 

Ca^h 

2453 

74 

2 

Bills  Receivable 

321 

Total  Resources 

12045 

24 

LIABILITIES 

Personal  Accts  Payable 

1325 

80 

9 

Bills  Payable 

889 

60 

Total  Liabilities 

2215 

40 

Firm's  Present  Worth 

— 

9829 

— 

[58] 


PROD    AND  PROV. 
EXAMINATION 


FEBRUARY  29,  19 


GAINS 

i8 

Mdse 

1061 

09 

4 

Real  Estate 

200 

17 

Shipment  No.  2 

4_o_ 

50 

Total  Gains 

1301 

59 

LOSSES 

3 

Int.  and  Dis. 

23 

74 

5 

Expense 

33° 

6 

Fur.  and  Fix. 

5 

40 

7 

Chattels 

41 

25 

1  1 

Loss  and  Gain 

100 

16 

Shipment  No.  1 

25 

Total  Losses 

525 

39 

Firm's  Xet  Gain 

776 

20 

].  \V.  Jameson 

Cr.  by       Net  Stock 

4526 

82 

"     "    yz    "  Gain 

388 

10 

4914 

92 

H.  B.  Burton 

Cr.  by      Net  Stock 

4526 

82 

"     '•   Vz    "    Gain 

388 

IO 

49J4 

92 

Firm's  Net  Present  Worth 

9829 

J4 

Some  teachers  will  require  their  students  to 

prove  mathematically  that  all  entries  have 

been  posted  from  books  of  original  entry, 

and  that  no  entry  has  been  omitted  or  du- 

plicated.    For  such  teachers  the  following 

proof  is  given: 

Footing  of  Journal 
"         "  Sales  Book 

44866 
2645 

8.1 

47512 

19" 

Less  balanced  accounts: 

C.  R.  Bell,  $433.75 

C.  E.   Hendricks,    647.08 

1080 

83. 

Footing  of  correct  Trial  Balance  ~~ 

46431 

36 

By  applying  this  proof  the  student  may  know 
in  advance  what  the  correct  Trial  Balance 

shall  be. 

NOTE.—  The  balanced  accounts  may  be  Driven  in 

total  and  the  work  greatly  shortened.    They 
are  itemized  here  for  the  teacher's  reference. 

[59] 


CASH  BOOK  EXAMINATION 


H.  B.  Burton,  Stock  invested  

10350 

N.  S.  Nelson,       ««           " 

9780 

Mdse   Sales  

380 

Bills  Receivable,  H.  W.  Howard's  note  No.  10   - 

840 

Int.  and  Dis.  on  above  note    ------ 

37 

9° 

Mdse    Sales         

193 

65 

(C                  «                    ......... 

65 

Bills  Receivable,  E.  G.  King's  note  discounted 

480 

Mdse   Sales      

41 

70 

John  Smith,  on  acct    -------- 

174 

H.  B.  Burton,  Stock,  additional  investment  - 

500 

S.  Ryden,  settled  his  acct        

500 

Mdse   Sales      

792 

83 

Int.  and  Dis.  from  J.  D.  Day  on  his  acct. 

42 
16 

4° 
61 

Mdse    Sales          -..--...- 

847 

63 

Bills  Receivable,  C.  L.  Howe's  acceptance    - 

460 

55 

J.  W.  Johnson,  on  acct.  of  adv.  freight       - 
Bills  Payable,  borrowed  on  our  note,  30  days 
Expense,  sold  coal  bo't  for  office   -       -       -       -       - 

29 
500 

5 

60 
65 

Mdse   Sales      

137 

73 

458 

40 

26718 

65 

26718 

IF* 

MK 

= 

= 

B    1                       V        A     t 

^^ 

nn^T 

Hffi 

AQ     * 

321 

21 

27 

72 

E.  M.  Tanner,  in  full  of  acct      

•7 

496 

1* 

29 

Mdse   Sales  

27 

72 

»*               •«..__.-.._- 

94 

5° 

""", 

343 

1311 

54 

24 

— 

- 

= 

> 

— 

= 

2085? 

— 

(60) 


CASH  BOOK  EXAMINATION 


- 

= 

— 

Expense,  one  month's  rent      -       - 

35° 
99° 
523 

375 

21 

550 

4 

12 
17 

1275 
7» 
360 

835 

43 
H59 
62 

150 
5i 
50 
29 
145 
16 
230 

63 
27 

10 

m 

2 

5 

4 

543 
799  J 
37 

20 
120 
II 

75 
17 

25 
307 
4 

95 

25 
75 
60 
80 
25 

20 

50 
70 

90 

35 
60 

50 

80 
40 
5o 

If 

20 

3° 
45 
80 

19 
73 

60 

& 

72 

70 

ffi 

26718 
20357 

3 

TB~ 

.V 

08 

Chattels,  horse  and  wagon  
Expense,  I  ton  hay,  $12,  l/2  ton  barley,  $9.25    - 
Mdse   Invs.  Nos.  5-7     
Expense,  blacksmith's  bill       .._... 
Int.  and  Dis.  on  E.  G.  King's  note  -       ... 
"      "      "     "     note  in  favor  Springer 

Expense,  repairs  $37.45,  insurance  $33.75  - 

American  Bank  Stock,  10  shares  @  $83.50 
N.  S.  Nelson,  for  private  use      
Mdse   Invs.  Nos.  8-10      ---.... 
Mdse    Freight  
Int.  and  Dis.,  allowed  S.  Ryden  for  settlement 

American  Bank  Stock,  Assess.  No.  I   -       -       -   (i) 
J.  W.  Johnson,  paid  freight  and  charged  to  him    - 

W.  Clark,  paid  him  salary  in  full  to  date    - 
Advertising  in  Daily  Kxaminer  •                              (2) 

Int.  and  Dis.  on  Howe's  acceptance        ... 

Expense,  water  tax     -       -       -       -       -       - 
Gas  Meter,  deposit  with  S.  F.  Gas  Co.    -       -       (3) 
Expense,  horse  blanket  and  whip  -       -       -       -   (4) 
Bills  Payable,  acceptance,  favor  Bancroft  Co. 

u       Invs.  Nos.  16-18       -.---. 
"       freight  on  same      ------- 
Furniture  and  Fixtures,  check  perforator 

Int.  and  Dis.,  int.  on  above  note       -       ... 

Expense,  paid  gas  bill    - 

20857 

JL 

(til) 


CINCINNATI,  O,  JAN. 


CASH    BOOK    EXAMINATION 


Overdrawn  Commercial  Bank         ..... 

54 

24 

Int.  and  Dis.,  cost  of  collecting  N.  Y.  draft  -       (5) 

i 

35 

W.  Clark,  paid  salary        -.....- 

25 

Furniture  and  Fixtures,  exchanged  safe  - 
Expense,  delivery  of  safe        ...... 
Int.  and  Dis.,  discount  on  Smith's  note  - 

125 
18 

5 

So 

Hills  Payable,  prepaid  note  No.  62 

800 

Expense,  telephone        - 

6 

70 

i 

65 

9*3 

20 

^M_ 

IQ37 

44 

mimSSm 



Commercial  Bank,  Overdrawn       • 

"86" 

(63) 


SINGLE     ENTRY                                                             \^1IXC1INI\  A  1  1  ,      W.  ,    JAIN.     J,     I  y 
DAY    BOOK                                                                                                                                                                                                                                            PAGE   1 

I,  H.  B.  Burton,  have  this  day  leased  the  store 

at  No.  236  Madison  Street,  for  the  purpose 

of  conducting  a  General  Hardware  Business, 

with  the  following  resources  and  liabilities  : 

I/ 

Cash                                                                     Dr. 

4900 

V 

Bills  Rec.     W.  H.  Warner's  note   at   60     Dr. 

1500 

days,  due  to-day,  with  int.  after  matu- 

rity, at  I  %  per  month 

v/ 

Mdse   per  Inv'ry                                                  Dr. 

7800 

V 

Expense  per  Inv'ry                                              «« 

700 

30 

2 

Cunningham,  Curtis  &  Welch                            " 

70 

10 

>/ 

Bills  Payable.     Demand  note,  fav.  Filer,     Cr. 

940 

Thorne  &  Co.,  without  interest 

ro 

J.  S.  Gannon 

1125 

5° 

1  5 

Osborn  &  Alexander                                            *' 

840 

1 

H.  B.  Burton,  Stock                                              " 

12064 

90 

2 

2 

Cunningham,  Curtis  &  Welch                           Cr. 

15 

Stationery  for  office,  Inv.  No.  I 

7 

Hall  Safe  &  Lock  Co.                                        Cr. 

300 

O 

Safe  for  office  use 

4 

v/ 

Bought  of  Osborn  &  Alexander,  Mdse    per  Inv. 

No.    2,  $380.75,  and  gave  my  note  in  pay- 

ment at  30  days,  without  interest 

5 

6 

G.  W.  Fuller                                                       Dr. 

16 

50 

640  Mission  St. 

3  doz.  table-knives,  j#  1846                       5.50 

6 

7 

Crocker  Bros.,                                                     Dr. 

17 

84 

j 

340  Bush  St. 

\yz  doz.  Daisy  Scythes,               10.30,  less  % 

II 

59 

%      "     Sheep-shears,  %  1242,  12.00,  less  y3 

2 

y2      "     Clipper  Scythes,             8.50  net 

4 

25 

10 

6 

G.  W.  Fuller                                                       Dr. 

6 

55 

640  Mission  St. 

10  Ib     Glue                                                    .18 

I 

80 

yz  doz.  H.  D.  S.  P.  Shovels                     9.50 

4 

75 

At  30  days,  less  loft  for  cash 

1  1 

> 

Sold  to  Osborn  &  Alexander. 

I5oolb     Barbed  Wire                                 .03 

45 

2  doz.  Silver  Spoons,  %  873                       7.50 

15 

2    "     Knives  and  Forks,  ;#  262                2.50 

5 

3    **     Teaspoons,  ^  9644                          4.00 

12 

77 

The  above  to  apply  on  our  note  of  the  4th 

(64) 


FRIDAY,  JAN.  20,  19 


SINGLE    ENTRY 
DAY    BOOK 


Dr. 


G.  W.  Fuller 
640  Mission  St. 
10  Ib     Shot  j#  5 

i^  doz.  L.  H.  R.  P.  Ely  Shovels 
These    goods   were   sold   on    the    loth,    but 
through  error  were  not  billed  or  charged 


.12 

9-50 


Osborn  &  Alexander  Cr. 

For  Mdse   per  Iriv.  No.  4 
Terms  30  days,  less  \o%. 
Paid  $500,  per  C.  B.,  page 
For  discount,  see  the  following  entry 

Osborn  &  Alexander  Dr. 

Dis.  for  cash,  $500  on  above  purchase 

G.  W.  Fuller  Cr. 

For  discount  of   \Q%  on  purchase   of   $22, 
made  on  the  loth 

Cunningham,  Curtis  &  Welch  Dr. 

900  Ib     Barbed  Wire  .03 

40      "    Shot  #5  .11 

6  doz.  Powder  Flasks,  $  3247  5.25 

Yz  "     Coal  Scuttles  7.50 

Osborn  &  Alexander  Dr. 

For  dis.  of  \o%  on  $404.44,  balance  of  pur- 
chase made  on  the  22d 


We  paid  Osborn  &  Alexander  $500  as  part  pay- 
ment on  account  on  an  invoice  on  which  we 
were  allowed  10  per  cent  discount.  The  $55.56 
discount  is  found  by  dividing:  8500  by  90%= 
$555.56.  See  Cash  Book  for  the  $500  paid  in 
cash. 

While  the  above  is  the  arithmetical  solution  it 
Is  the  general  custom  of  business  houses  to 
count  straight  commercial  discount  on  part 
payment  of  invoices.  See  last  transaction 
above. 


27 
4 

31 
3 


960 


55 


66 


40 


45 


20 


44 


(65) 


Teachers'  Manual-") 


SINGLE  ENTRY                                                                               STATEMENT 

OF  H.  B.  BURTON'S  BUSINESS,  FEB.  i,  19                          PAGE  3 

FACE   OF   LEDGER 

i 

H.  B.  Burton,  Stock   

75 

12094 

60 

2 

Cunningham,  Curtis  &  Welch      -       -       -       - 

136 

75 

15 

3 

Hall  Safe  &  Lock  Co.         

125 

300 

10 

J.  S.  Gannon      -------- 

500 

1125 

50 

5 

Osborn  and  Alexander       ------ 

960 

1800 

6 

G   W   Fuller     ---r---- 

18 

CO 

2*7 

7 

j" 

5 

IO 

CB 

Cash     -       

5946 

13 

2489 

75 



= 

= 

7799 

22 

17861 

85 

RESOURCES 

2 

r        •     v,         r     t-    s  \\r  i  v. 

121 

75 

G.  W.  Fuller     

II 

50 

7 

Crocker  Bros.         -      - 

7 

84 

CB 

Cash     

3456 

38 

-  I 

Mdse    Inv'ry  --------- 

9533 

Expense,  Inv'ry        

975 

Bills  Receivable    

1500 

Interest  on  Bills  Rec.,  31  days,  at  6% 

15 

5° 

15620 

97 

LIABILITIES 

3 

Hall  Safe  &  Lock  Co.        

175 

10 

J.  S.  Gannon     _.. 

6*5 

5° 

5 

Osborn  &  Alexander    ------- 

840 

I  2 

Bills  Payable      -       -              

940 

2580 

50 

, 





H.  B.  Burton's  Present  Worth       -       -       -       - 

13040 

47 

H.    B.    BURTON,    PROPRIETOR 

Present  Worth  

13040 

47 

Net  Investment  before  closing  -       -       -       -       - 

12019 

60 

;. 

—  • 

= 

Cr.  by  Net  Gain       

— 

= 

1020 

87 

I 

H.  B.  Burton         -       -       Cr. 

1020 

87 

For  net  gain  on  closing  Feb.  I,  19 
(66) 

THURSDAY,  FEB.  i,  19 


SINGLE    ENTRY 
DAY    BOOK 


4 

Expense                                                                 Dr. 

975 

For  Inv'ry  on  this  date 

2 

7 

Crocker  Bros.                                                        Dr. 

12 

1  60  Ib     White  Lead                          7  per  cwt. 

II 

20 

20     "     lod  Nails                                           .04 

80 

At  30  days,  less  ^%  for  cash 

3 

I/ 

Sold  to  A.  B.  Coon,  on  his  note  at  30  days,  with- 

out interest 

5  doz.  Daisy  Scythes                                    8.50 

42 

5° 

5    "     Dog-collars,  #  7337                          5.40 

27 

I    "     Coffee-mills,  $  006 

10 

5° 

80 

oo 

5 

/ 

Bought  of  J.  D.  Marshall  on  my  demand  note, 

without  interest,  Mdse  as  per  Inv.  No.  5,  $50 

7 

6 

G.  W.  Fuller                                                        Cr. 

IO 

YZ  doz.  15-in.  Monkey-wrenches              18.00 

9 

25  Ib     Putty                                                       .04 

i 

At  30  days,  less  5%  for  cash 

9 

8 

A.  B.  Coon                                                            Dr. 

48 

25 

20  doz.  Wire  Clothes  lines                            1.75 

35 

150  Ib     Barbed  Wire                                       .03 

4 

5° 

I  doz.  6^  -in.  Scissors,  $  5894 
1/6  "     9-in.  B.  and  W.  Trimmers               4.50 

8 

75 

10 

9 

B.  B.  Kerrigan                                                      Cr. 

75 

Mdse.  per  Inv.  No.  6,  less  5%  for  cash 

7 

Crocker  Bros.                                                        Cr. 

60 

For  dis.  of  5  %  on  $12,  purchase  of  the  2d 

10 

J.  S.  Gannon                                                         Dr. 

121 

75 

2 

Cunningham,  Curtis  &  Welch                            Cr. 

121 

75 

Gave  J.  S.  Gannon  a  draft  at  3  days'  sight, 

on  Cunningham,  Curtis  &  Welch  for  balance 

due  me 

12 

5 

Osborn  &  Alexander                                            Cr. 

58 

10 

I  doz.  2-gal.  Sprinklers 

3 

5° 

4    "     S.  F.  Brooms                                       2.40 

9 

60 

6    "     Ostrich  Dusters,  $  363                    7.50 

45 

Inv.  No.  7. 

16 

4 

Expense                                                                 Dr. 

5° 

i  Sprinkler,  2  gal.                                           .30 

1 

i  S.  F.  Broom                                                  .20 

10 

J.  S.  Gannon                                                         Dr. 

65 

4 

Expense                                                                  Cr. 

For  Typewriter  sold  to  J.  S.  Gannon  on  acct 

(67) 

SINGLE    ENTRY 
DAY    BOOK 


MONDAY,  FEB.  16,  19 


Osborn  &  Alexander  Dr. 

For  W.  H.  Warner's  note  of  $1,500.  They 
paid  me  $601.90,  and  I  gave  them  a  receipt 
in  full  of  acct  to  date 


Expense 

2  Ostrich  Dusters 


Dr. 

.62^ 


Expense  Dr. 

Crocker  Bros.  Cr. 

Gave  J  H.  Flanigan  for  labor  an  order  on 
Crocker  Bros,  for  $7.84,  the  balance  due  me 

B.  B.  Kerrigan  Cr. 

For  Mdse   per  Inv.  No.  8 

B.  B.  Kerrigan  Dr. 

A.  B.  Coon  Cr. 

Gave  B.  B.  Kerrigan  a  sight  draft  on  A.   B. 

Coon  for  $48.25 


185 


48 
48 


(68) 


STATEMENT 
OF  H.  B.  BURTON'S  BUSINESS,  MARCH  i,  19 


SINGLE     ENTRY 
DAY     BOOK 


FACE    OF    LEDGER 

I 

H.  B.  Burton,  Stock    

13040 

47 

3 

Hall  Safe  &  Lock  Co.     

200 

300 

10 

J.  S.  Gannon          --.-._-- 

701 

75 

1125 

50 

6 

G.  W.  Fuller      

48 

50 

42 

4 

Expense  ... 

1074 

09 

65 

9 

B.  B.  Kerrigan  -------- 

"3 

25 

260 

90 

CB 

Cash         -       - 

5290 

377 

50 

__ 



7427 

ii 

15211 

37 

RESOURCES 

6 

G.  W.  Fuller     

6 

50 

CB 

Cash         -       . 

4912 

50 

ii 

Mdse    Inv'ry     

8746 

25 

4 

LIABILITIES 

925 

J459° 

25 

3 

Hall  Safe  &  Lock  Co.                           -       -       - 

100 

10 

J.  S.  Gannon         - 

423 

75 

9 

B.  B.  Kerrigan  

H7 

65 

ii 

Bills  Payable          

990 

1661 

40 

H.  B.  Burton's  Present  Worth  -       -       -       - 

12928 

fo 

H.    B.    BURTON,    PROPRIETOR 

T  *)C\A  C\ 

A  *7 

Present  Worth    March  I    "    -       -       -       - 

i  jU4o 
12928 

47 
85 

•  

— 

-_• 

Dr.  for  net  loss,      "          "               .... 

=—  ; 

ill 

62 

CLOSING   ENTRIES 

1  1 

Mdse.   per  Inv'ry      ------      Dr. 

8746 

25 

4 

925 

HR    Burton    Stork                                                      " 

f\*> 

i 

I  2 

Bills  payable     Cr. 

III 

O2 

99° 

Entry  necessary  to  change  the  books  to  double 

entry  on  this  date,  March  I,  19 

TRIAL  BALANCE. 

March  I,  19 

I 

H.  B.  Burton,  Stock    

12928 

85 

3 

Hall  Safe  &  Lock  Co.     ------ 

200 

300 

to 
6 

J.  S.  Gannon         
G.  W.  Fuller     -       

701 

48 

75 
5° 

1125 
42 

50 

4 

Expense  

925 

9 

B.  B.  Kerrigan  

"3 

25 

260 

90 

;  I 

Mdse        

8746 

25 

I  2 

Bills  Payable      ----.--- 

990 

CB 

Cish 

4912 

5° 

=^ 

ffijn 

15647 

1L 

15647 

25 

•INGLE     ENTRY                                                                                CASH      BOOK                                                                                                 PAGE     7 

Dr.                  Or. 

I9 

Jan. 

i 

/ 

Cash 

4900 

I/ 

Paid  one  month's  rent 

5° 

6 

3 

Paid  Hall  Safe  &  Lock  Co.  on  acct 

75 

6 

Received  Cash  of  G.  W.  Fuller  on  acct 

5 

8 

I/ 

Cash  Sale  to  A.  B.  Coon 

57 

08 

9 

TO 

Paid  J.  S.  Gannon  on  acct 

500 

10 

7 

Received  of  Crocker  Bros,  on  acct 

10 

1  1 

3 

Paid  Hall  Safe  &  Lock  Co.  on  acct 

5° 

20 

V 

Cash  Sales 

954 

25 

V 

Paid  Cash  for  Mdse     Inv.  No.  3 

500 

22 

5 

Paid  Osborn  &  Alexander  on  acct 

500 

23 

6 

Received  of  G.  W.  Fuller  on  acct 

19 

80 

24 

i 

Withdrew  for  personal  use 

5946 

13 

75 

V 

Paid  for  Typewriter 

75 

26 

V 

Paid  Osborn  &  Alexander  balance  of  my  note, 

300 

75 

less  $3  discount 

27 

5 

Paid  Osborn  &  Alexander  on  acct 

364 

2489 

75 

Balance 

345<> 

38 



_ 



5946 

'3 

5946 

J3 

Feb 

I 

/ 

Balance 

3456 

38 

4 

Paid  one  month's  rent 

5° 

4 

Paid  for  5  tons  of  coal 

29 

50 

3 

/ 

Cash  Sales 

395 

35 

10 

7 

Rec.  of  Crocker  Bros,  full  of  acct   Jess  6oc.  for  dis. 

ii 

40 

13 

3 

Paid  Hall  Safe  &  Lock  Co.  on  acct 

25 

V 

Received  of  A.   B.  Coon,  cash  for  his  note  of 

79 

47 

$80,  less  12%.     Dis.  530 

9 

Paid  B.  B.  Kerrigan,  on  acct 

30 

15 

4 

Paid  for  cleaning  store 

5 

19 

V' 

Received   of   Osborn  &  Alexander   on   W.  H. 

60  1 

90 

Warner's  note  of  $1500 

24 

I/ 

Cash  Sales 

340 

26 

V 

Paid  cash  for  Mdse,  Inv.  No.  9 

i33 

9 

Paid  B.  B.  Kerrigan  on  acct 

35 

3 

Paid  Hall  Lock  &  Safe  Co.  on  acct 

25 

28 

4 

Paid  for  Window-shades 

5 

V 

Cash  Sales 

39° 

50 

3 

Paid  Hall  Safe  &  Lock  Co.  on  acct 

25 

10 

Paid  J.  S.  Gannon  on  acct 

15 

6 

Received  of  G.  W.  Fuller  on  acct 

15 

377 

50 

Balance 

5290 

4QI2 

50 

5290 

00 

5290 

oo 

Ma7 

i 

Balance 
(70\ 

49I2 

"50" 

SINGLE    ENTRY 
LEDGER 


H.  B.  BURTON,  STOCK 


19 

Jan. 
Feb. 

MaT 

24 
I 

1st  Closing    C 

Present  Worth 

7 
~ 

75 
13040 

47 

19 
Jan. 

Feb. 

FebT 
Ma7~ 

i 
i 

~ 

1st  Closing 

Gain 
Present  Worth 

Present  Worth 

i 
3 

12094 
1  020 

60 

87 

Loss 
Present  Worth 

i3"5 
in 

I2Q28 

47 
— 
85 

13115 
13040 

47 
17 

13040 

47 

13040 
12928 

47 

1= 

PAGS  Z 


CUNNINGHAM,  CURTIS  &  WELCH 


19 

19 

Jan. 

i 

I 

70 

10 

Jan. 

2 

1st  Closing 

I 

15 

24 

2 

66 

65 

Feb. 

IO 

4 

121 

75 

1st  Closing 

136 

75 

2d  Closing  (in  Balance) 

136 

71; 

^^= 

—  ^ 

—  ~ 

^~^~—~ 

~ 

^^~ 

== 

^ 

HALL  SAFE  AND  LOCK  Co. 


19 

19 

Jan. 

6 

C 

7 

75 

Jan. 

3 

1st  and  2d  Closing 

I 

300 

ii 

1st  Closing 

7 

5° 

125 

Feb. 

13 

C 

9 

25 

26 

" 

7 

25 

28 

M 

7 

25 

2d  Closing 

200 

EXPENSE 


19 

19 

Feb. 

i 

4 

975 

Feb. 

16 

2d  Closing 

65 

16 

4 

50 

Mar. 

/ 

£0.™ 

** 

°9 

20 

21 

5 
5 

7 

25 
84 

/nv'ry 

9^5 

I 

C 

7 

5o 

(< 

7 

29 

50 

15 

(( 

7 

5 

28 

" 

7 

5 

2d  Closing 

IQ74 

09 

IQ74 

og_ 

MaT~ 

~ 

Inv'ry 

925 

(71) 


SINGLE  ENTRY                                             USBORN  &  ALEXANDER 

LEDGER                                                                                                                                                                                                                                               PAGE   S 

19 

19 

Jan. 

22 

2 

55 

56 

Jan. 

i 

I 

840 

27 

2 

40 

44 

22 

2 

960 

22 
27 

C 

1st  Closing 

7 

7 

500 
364 

960 

00 

Feb. 

12 

1st  Closing 
2d  Closing  (in  Balance) 

4 

1800 

58 

1858 

IO 

ll> 

Feb. 

19 

5 

898 

IO 

= 

= 

2d  Closing  (in  Balance) 

= 

1858 

10 

= 

= 

—  - 

1858 

10 

PAGE  6                    G.  w.  FULLER,  640  Mission  St. 

19 

19 

Jan. 

5 

i 

16 

50 

Jan. 

23 

2 

2 

2O 

10 

i 

6 

55 

6 

C 

7 

5 

20 

2 

15 

45 

23 

(i 

7 

*9 

80 

1st  Closing 

38 

50 

1st  Closing 

27 

00 

Feb. 

7 

4 

IO 

Feb. 

28 

C 

7 

15 

2d  Closing 

48 

50 

2d  Closing 

42 

CROCKER  BROS.,  340  Bush  St.                     PAGE  7 

19 

19 

Jan. 

6 

1st  Closing 

i 

17 

84 

Jan. 

10 

1st  Closing    C 

7 

10 

Feb. 

2 

4 

12 

Feb. 

10 

4 

60 

2d  Closing  (in  Balance) 

29 

84 

21 

5 

7 

84 

IO 

C 

7 

ii 

40 

= 

= 

= 

29 

J*i 

= 

= 

2d  Closing  (in  Balance) 

= 

29 

_84 

PAGE  8                                      A.  B.  COON 

19 

1 

19 

. 

Feb. 

9 

2d  Closing  (in  Balance)       A 

r 

48 

2L 

Feb. 

28 

2d  Closing  (in  Balance) 

_5_ 

48 

£1 

B.  B.  KERRIGAN                                pAGE9 

19 

—— 

^^MMMM^«MMM^B«MMMMM«^^MMM^-^MB^»BW«M—  •«_••«•••«••••••••••• 

19 

Feb. 

28 

5 

48 

25 

Feb. 

10 

4 

75 

13 

C 

7 

30 

21 

5" 

185 

90 

26 

ii 

7 

35 

2d  Closing 

260 

90 

2d  Closing 

113 

25 

(72) 


J.  S.  GANNON 


SINGLE    ENTRY 
LEDGER 


19 

«9 

Tan. 

9 

l»t  Closing    C 

7 

500 

Jan. 

i 

1st  and  2d  Closing 

I 

II25 

50 

Feb. 

10 

4 

121 

75 

16 

4 

65 

C 

7 

15 

2d  Closing 

701 

75 

MERCHANDISE                                  PAGE  n 

19 

II 

Mar. 

i 

6 

8746 

25 

1 

BILLS  PAYABLE 


19 

Mar. 

' 

6 

99° 

(73) 


'L    MDSE  EXAM. 
JOURNAL 


CINCINNATI,  OHIO,  MAY  1,  19 


I,  H.  B.  Burton,  have  this  day  com- 
menced a  General  Produce  and  Pro- 
vision Business  at  1236  Market  St., 
with  the  following  resources  and 
liabilities : 

Cash 

Mdse 

Bills  Receivable 

Furniture  and  Fixtures 

Chattels 

W.  I.  Hay  wood 
Bills  Payable 
W.  S.  Richards 
H.  B.  Burton,  Stock 

For  Investment  on  this  date. 


Furniture  and  Fixtures 

Hall  Safe  &  Lock  Co. 
Bought  Safe  for  store. 


Wiley  &  Green 

Bills  Payable 
Accepted  their  draft  on  me. 


H.  B.  Burton,  Stock 

E.  M.  Chapman,  Stock 

Accepted  Chapman  as  joint  and 
equal  partner.  H.  B.  Burton  guar- 
antees all  personal  accts  and 
Bills  Receivable  to  date. 


Loss  and  Gain 

H.  B: Burton,  Private 


E.  M.  Chapman,  Private 
H.  B.  Burton,  Private 
W.  I.  Hay  wood 

Sold  Haywood's  acct   to  Chapman  on 
acct. 


Retd  Mdse 

W.  Glenn 
W.  Glenn  returned  800  Ibs.  coffee  to  us. 


Fwd 


1605 
5000 

2000 
250 

375 
500 


300 


3037 


500 


200 
300 


I4O 


I62O7 


5° 


2655 

IOOO 

6075 


300 


2OOO 


3°37 


5OO 


500 


140 


16207 


5° 


[74J 


CINCINNATI,  OHIO,  MAY  1,  19                     GEN  L  MDSE  EXAM. 

PAGE     2                                                                                                                                                                                                                                JOURNAL 

19 

Brt  Fwd 

16207 

5° 

16207 

5° 

May 

4 

Freight 
W.  Glenn 

23 

5 

20 

5 

20 

W.   Glenn  charged  us  with  freight  on 
the    goods   returned. 

6 

W.  I.  Richards 

8 

1000 

Int.  and  Dis. 

14 

20 

Bills  Payable 

7 

1020 

7 

Longshore  &  Crane 
Bills  Payable 

7 

1639 

98 

1639 

98 

9 

H.  B.  Burton,  Private 

i 

288 

14 

J.  M.  Goldsmith 

16 

288 

14 

Burton  guaranteed  Accts  Receivable. 

13 

Bills  Receivable 

3 

391 

38 

Bills  Receivable 

3 

387 

5° 

Int.  and  Dis. 

14 

3 

88 

F.  M.  Jack  paid  y2  his   note  by  new 

note  with  i%  added. 

1  7- 

Bills  Payable 
Atlantic  &  Pacific  Tea  Co. 

7 
20 

35° 

35° 

21 

Loss  and  Gain 

ii 

391 

38 

Bills  Receivable 
F.  M.  Jack  has  failed  and  his  note  is 

3 

391 

38 

total  loss. 

21 

S.  F.  Bank  Stock 

17 

200 

E.  M.  Chapman,  Private 

200 

Chapman    transferred     2     shares    of 

S.    F.    Bank    Stock  for  Haywood's 

acct. 

23 

Salary 
H.  B.  Burton,  Private 

18 

i 

125 

20618 

20618 

JJ. 

[75] 


GEN'L    MDSG    EXAM 
JOURNAL 


CINCINNATI,  OHIO,  MAY  1,  19 


Some  teachers  will  require  their 
students  to  prove  mathematically 
that  all  entries  have  been  posted 
from  books  of  original  entry,  and 
that  no  entries  have  been  omitted 
or  duplicated.  For  such  teachers, 
the  following  proof  is  given: 


Footing  of  Journal 

"    Sales  Book 
"        "     Purchase  Book 

"    C.  B.  Debit  side  less  old 

Bal 

"  C.  B.  Credit  side 
Total  footing  of  all  books  of  orig.  entry 


Less  Balanced  Accounts : 

Haywood  $  500. 

Richards  1000. 

Wiley  &  Green  4763.76 

Longshore    &    Crane  3279.96 

Goldsmith  480.23 

Ladd  1437.66 


Less   duplicates    checked(|/)in   Sales 
Book: 

Cash  Sale  $  800. 

240.79 
2921.45 
(See  S.B.)  2400. 


Less  duplicates  checked   (y)  in  Pur- 
chase Book: 

Cash  Purchase  $  5000. 

5288.25 

"     (SeeP.B.)  3.^5.70 
Footing    of    Correct     Trial     Balance 


By  applying  this  proof  the  student 
may  know  in  advance  what  the 
correct  Trial  Balance  shall  be. 

NOTE — The  balanced  accounts,  and 
the  Cash  Sales  and  the  Cash  Pur- 
chases may  be  given  in  totals,  and 
the  work  greatly  shortened.  They 
are  itemized  here  for  the  teacher's 
reference. 


[76] 


20618 
24844 
*9477 

22964 

23253 

111157 


13613 


79719 


9=; 


84 


GEN       MDSE     EXAM. 
SALES     BOOK 


PAGE    I 

Sund.  Sales     Cash  Sales 


May 


Cash  Sale 

100  brls  Extra  Family  Flour  $8.00 

E.  C.  Waltz  &  Co. 

200  brls  Extra  Family  Flour  $6. 2 5 

J.  M.  Goldsmith,  Decatur,  Ga. 
5  brls  Kerosene  Oil, 

244^   gal.,  $35-45 

25  bxs  BestCornstarch, 

1,109  Ibs,  4!-59 

5    bgs  Medium    Pepper, 

558  Ibs,  80.91 

5  gr.  Oatmeal  Soap  QQ- 

Bills  Rec.,  Reg.  No. — 

R.  Schaeffer's  note  30  days. 

J.  M.  Goldsmith,  Decatur,  Ga. 

13  hogsheads  Golden  Syrup,  46, 
49^2,  46K,  48,  483^2,  47)4, 
463/2,47,  48,  483/2,493/2,  44%. 
44/4,  gal.,  less  10%  .42 

W.  Glenn,  Cincinnati,  Ohio 

1 2  5  bgs  Rio  Coffee,  8,3  7 1  Ibs  .  1 7  ^ 


S.  S.  Buckner  &  Co.,  X.  Y. 
100  bales  Cotton 


$50. 


A.  C.  Ladd,  Carterville,  Ga. 

20  brls.   N.    O.    Molasses,    860 M 
gals.,  .623/2" 

Bills  Rec., Reg.  No.— I.  P.  Harris's  note 
8   hogsheads  Havana  Sugar,  1255, 
1170,    1190,    1220,     1155,   1235, 
1195,  1295,  less  io#  tare,  &% 

Bills  Rec.,  Reg.  No. — F.  M.  Jack's  note 
100  brls.  R.  P.  Flour  $7.75 

Cash    Sales,  Sale   to    W.    J.    Forsyth 

Atlantic  &  Pacific  Tea  Co. 

40  half  chests  Tea,   706  Ibs  net, 
.80  M 

Wm.  Nelson 

200  brls  Extra  Family  Flour  $6.50 
Fwd 


[77] 


16 


16 


1250 


247 


659 


232 


1464 


775 


1369 


1300 


13546 


95 


23 


28 


93 


66 


07 


53 


800 


1040 


GEN.       MDSE    EXAM. 
SALES    BOOK 

Sand.  Sales   Cash  Sales 


J9 

May 

14 

Brt  Fwd 

J3546 

53 

1040 

79 

14 

Wiley  &  Green,  St  Louis,  Mo. 
i  o  sacks  Rio  Coffee,  1  5  2  each  .  1  7% 

10 

10             Java    '       137       j    .21% 
10     "Laguayra"      150      '    .15^ 

805 

15 

18 

Cash  Sales,  Sale  to  Cheney,  Charles  & 

Co. 

V 

2921 

45 

18 

A.  C.  Ladd,  Carterville,  Ga. 

loobrlsMessPork                   $9.00 

20 

900 

18 

Cash  .Sales,  to  Wiley  &  Green 

V 

2400 

21 

P.  and  G.  T.  Dodd 

2000  Ibs  Bacon                        .063/2 

22 

130 

2  I 

Wiley  &  Green 
22,000  Ibs  Bulk  Sides             .06^ 

10 

1375 

2  I 

Bills  Rec.,note  on  Moore,  Simms  &  Co. 

3 

17,000  Ibs  B.  Shoulders          .04  M 

807 

50 

22 

Simmons  &  Drummond 

22 

9,020  Ibs  B.  Shoulders              .06  V8 

552 

48 

2  2 

Atlantic  &  Pacific  Tea  Co. 

2O 

3  ,  2  oo  Ib's  Rio  Coffee                .  1  1  5Aa 

365 

33 

18481 

.29. 

6362 

24 

Total  Sundry  Sales 

18481 

99 

Total  Cash  Sales 

6362 

24 

Mdse 

2 

24844 

2L 



[78] 


GEN'L    MDSE    EXAM.                                                                                                                                                                                                                                     PAGE     1 

PURCHASE  BOOK                                                                                                Sund.  Prch's   Cash  Prch  s 

X9 
May 

2 

Wiley  &  Green,    Cincinnati,  Ohio. 
Inv.  No.  i,  On  % 

10 

2583 

61 

A 

Cash  Purchases,  Cash  Purchases 
Inv.  No.  —   100  bales  Cotton  $50. 

V 

5000 

7 

Longshore  &  Crane,  Cincinnati,  Ohio. 
Inv.  No.  — 

15 

3279 

96 

16 

Cash   Purchase,  Jason,  Evans  &   Co. 
Inv.  No.  — 
Freight  on  above  Inv.  $100.      See 
C.  B. 

V 

5288 

25 

20 

Cash  Purchases,  Cash  Purchases 
Four    cars    of  Meat    Inv.  No.  — 
Freight  on  above,  $140.  See  C.  B. 

V 

3325 

70 

—  S2£L 

^ 

13613 

2L 

Total  Sundry  Purchases 
Total  Cash  Purchases 
Mdse 

2 

5863 
13613 

57 
95 

IQ477- 

52 

• 

.  •'  j 

i 

• 

[79] 


Accts.  Credited 


Explanation 


CASH    BOOK 

L  F     Mdse  Sales      Sundries 


19 

May 

i 

Balance 

V 

1605 

i 

Mdse  Sales 

Cash  Sale 

V 

800 

4 

E.  C.  Waltz  &  Co. 

On  % 

18 

IIOO 

4 

Bills  Rec. 

Dis.  Note  at  Coll.  Bk. 

3 

2OOO 

9 

J.  M.  Goldsmith 

40$  of  his  % 

1  6 

192 

09 

1  1 

Mdse  Sales 

Cash  Sale  toForsyth 

V 

240 

79 

'3 

A.  C.  Ladd 

On  % 

20 

483 

89 

*3 

Bills  Rec. 

#  F.  M.  Jack's  Note 

3 

387 

5° 

14 

Bills  Rec. 

I.  P.  Harris's  Note 

3 

710 

41 

16 

Bills  Payable 

Call  from  G.  C.  Bk. 

7 

2000 

17 

A.  &  P.  Tea  Co. 

On  % 

20 

1019 

07 

18 

Mdse  Sales 

Sale  to  C,  C.  &  Co. 

V 

2921 

45 

18 

Mdse  Sales 

Sale  to  \\  il.  &  Grn. 

V 

2400 

22 

S.  S.  Buckner  &  Co. 

In  full  of  % 

19 

495° 

J5 

22 

A.  C.  Ladd 

In  full  of  % 

20 

900 

23 

\Viley  &  G  een 

On  % 

IO 

2180 

15 

23 

A.  C.  Ladd 

On  % 

20 

53 

77 

23 

E.M.  Chapman,  Pvt. 

Hay  wood  pays  75% 
of  his  % 

I 

475 

23 

Chattels 

Reed     for      injured 

5 

horse 

75 

23 

Wm.  Nelson 

On  % 

2  I 

75 

7y 

23 

Total  rects  from  sales 
Bal.  on  hand 

= 

18414 

27 

6i55 
18414 

27 

24569 
1316 

23* 
23 

[80] 


GEN.    MDSE    EXAM.                                                                                                                                                                                                                      PAGE     3 

Accts  Debited                     Explanation               LF    Mdse  Prch's       Sundries 

May 

I 

Expense 

Rent  and  license,  $7  5 

21 

I2O 

cleaning  store,  85 

painting,  $25 

signs,  $5 

I 

i  I  all  Safe&  Lock  Cc 

First  installment 

9 

15 

3 

Wiley  &   Green 

On  % 

10 

583 

61 

3 

Bills  Payable 

My  acceptance 

7 

305 

4 

Mdse  Purchases 

Cash  Purchase 

I/ 

5000 

4 

Freight 

On  Inv.  No. 

23 

15 

4 

Int.  and  Dis. 

Dis.  note  at  Coll  Bnk 

14 

20 

4 

Freight 

Frt  on  Glenn's  ret  n 

23 

8 

6 

Salary 

Clerk  hire 

18 

42 

50 

6 

H.  B.  Burton,  Pvt. 

Personal  use 

i 

5° 

6 

E.M.Chapman,   Pvt. 

Personal  use 

i 

7 

Longshore  &   Crane 

On   % 

15 

1639 

98 

9 

H.  B.  Burton,  Pvt. 

Coll  Goldsmith's  % 

i 

7 

5° 

14 

Int.  and  Dis. 

Harris's  note 

14 

15 

79 

14 

H.  B.  Burton,  Pvt. 

Personal  use 

i 

75 

14 

E.  M.  Chapman,  Pvt. 

Personal  use 

i 

15° 

14 

Advertising 

23 

7 

5° 

14 

Wages 

Paid   Drayman 

24 

5 

14 

Salary 

Clerk  hire 

18 

75 

16 

Mdse  Purchases 

Jason,  Evans  &  Co. 

V 

5288 

25 

16 

Freight 

Un  above  Inv. 

23 

IOO 

17 

Int.  and  Dis. 

A.&P.  TeaCo'spm't 

14 

IO 

19 

20 

H.  B.  Burton,  Pvt. 

Personal  use 

I 

5° 

2O 

E.M.Chapman.  Pvt. 

Personal  use 

I 

250 

20 

Wages     ' 

Paid  Drayman 

24 

1    6 

20 

Salary 

Paid  Clerks 

18 

5° 

20 

Advertising 

23 

IO 

2O 

Mdse  Purchases 

Cash   Purchase 

V 

3325 

70 

20 

Freight 

On  above  Inv. 

23 

140 

22 

Collection 

On  Ladd's  % 

24 

i 

20 

22 

Bills  Payable 

NoteonGateCtyBk 

7 

2000 

22 

Int.  and  Dis. 

Int.   on  above  note 

14 

2O 

23 

Int.  and  Dis. 

OnWiley&Green's% 

14 

I 

34 

23 
23 

Bills  Payable 
Salary 

82000  and  $1639.98 
Office  Help 

7 
18 

1639 

98 

2OOO 
65 

23 

Advertising 

23 

IO 

23 

Collection 

On  Ladd's  dft 

24 

.12. 

17477 

S2 

5775 

52 

Total  paid  on  Prch's 

17477 

52 

Balance 

1316 

23 

24569 

2? 

[81] 


Teachers'  Manual-6 


GENERAL    MERCHANDISE 
EXAMINATION -LEDGER 


H.  B.  BURTON,  STOCK 


19 
May 



23 
23 

H.B.B.  Private 
Bal.  P.W. 

L    i 

2923 

6075 

67 
.22 

X9 
May 

i 

Bal. 

J      i 

6075 

6975 

May 

23 

~s 

33 

H.  B.  BURTON,  PRIVATE 


I9 

19 

May 

4 

J      i 

3°37 

50 

May 

4 

J      i 

500 

4 

q 

J      i 

J         2 

300 
288 

14 

23 

23 

Loss  and  gain 

Li 

I25 
259 

47 

6 

C    3 

5° 

23 

H.B.B.  Stock 

L    i 

2923 

6? 

Q 

C    3 

7 

50 

14 

C    3 

75 

20 

C    3 

5° 

= 

• 

3808 

JL4 

3808 

14 

E.  M.  CHAPMAN,  STOCK 


I9 

May 

23 

Bal.  P.  W. 

=- 

3221 

97 

I9 
May 

4 
23 

23 

E.M.C.Priv'te 
Bal. 

L  i 

3°37 
184 

5° 

41 

M 

97 

J2£^ 

Jg 

3221 
3221 

May 

L*5 

E.  M.  CHAPMAN,  PRIVATE 


19 

19 

May 

4 

J   i 

200 

May 

21 

J    2 

2OO 

6 

^  3 

15° 

23 

C  4 

475 

14 

C  3 

150 

2J 

Loss  and  gain 

L  77 

259 

47 

20 

C  3 

250 

23 

E.M.C.Stock 

L  i 

184 

_1Z 

=— 

934 

47 

= 



934 

H 

[82] 


MERCHANDISE 


GENERAL     MERCHANDISE 
EXAMINATION-LEDGER 


May 


May 


23 


23 


23 


Total  Purch's 

Less  Returns 
Net  Purchases 
Freight 

Loss  and  gain 

Bal. 

L  12 

L23 
L  ii 

5000 

19477 

-__: 
oo 

24477 

ooooo 

24477 
268 
27/2 

52 

20 
Jjg 

86 

21458 

L, 

2753 

19 

May 


Total  Sales 

ss   Returns 
Net  Sales 


s  3 

Ll2 

24844 

24844 
140 

24704 

27458 

23 
23 

Is 


BILLS  RECEIVABLE 


M^y 

i 
13 

J    2 

2OOO 

391 

38 

May 

21 

1  : 

387 
391 

50 
38 

3 

S  i 

659 

23 

4 

C   2 

2OOO 

8 

S  i 

710 

13 

C   2 

387 

5° 

10 

S   2 

775 

14 

C   2 

710 

41 

21 

s  3 

807 

5° 

23 

Bal. 

1466 

73 

> 

-=r 

= 

5343 

^ 

= 

= 

= 

jm^ 

M^y 

23 

Bat; 

L25 

1466 

73 

FURNITURE  AND  FIXTURES 


~~TO~ 

19 

May 

i 

i 

J      i 

250 
300 

May 

23 

23 

/w^rr 
Lo55  owcf  gain 

LIJ 

500 
50 

. 

—  - 

.. 

550 





—  . 



^° 

-33 

May 

23 

Bal. 

L*5 

5OO 

CHATTELS 


19 

19 

May 

i 

J      i 

375 

May 

23 
23 
23 

Invry 
Loss  and  gain 

C     4 

L  ii 

75 
'75 
_£5 

. 

—  — 

--.— 

37^ 



^^_ 

____ 

. 

375 

__ 

May 

23 

Bal. 

L*5 

175 

[83] 


May 

i 

i_. 

BILI 

1  19 

May 
'AYAl 

4 

j  ; 

500 

CE  7 

.S    I 

3LE 

PA 

19 
May 

FACE  < 

3 

22 
23 
23 

1 

Bal. 

Iooo1— 

Oi  Od  Od  to 

35° 
3°5 

2OOO 

3639 
1O2O 

98 

May 

I9 
May 

ICHAR 

I 

6 

7 
16 

Bal. 

li 

J         2 
C       2 

2655 
2000 
I02O 
1639 
2000 

98 

9JT4 

I.  R 

3020 

98 

W. 

23 
ps 

^25 

M^y 

6 

J         2 

IOOO 

May 

i 

^ 

ICOO 

HALL  SAFE  &  LOCK  Co. 


Ma9y 

i 

Ci3 

~ 

MTa9y 

i 

J      i 

300 

23 

Bal. 

285 







300 



300 

J9 

„ 

May 

23 

Bal. 

L25 

285 

WILEY  &  GREEN 


-^~ 

19 

May 

3 

J    I 

2000 

May 

23 

C   2 

2l80 

18 

3 

^  3 

583 

61 

2 

P   I 

2583 

61 

14 

S   2 

805 

is 

21 

S   2 

137=; 

4/63 

_76 

476^ 

^6 

[84] 


iw\-/OC 

-«!> 

U     VJ-fl 

irv 

PAC 

,E     11 

19 

J9 

May 

4 

}      i 

500 

May 

23 

Mdse 

L       2 

27!2 

37 

2  I 

J      2 

391 

38 

23 

Fur.  and  Fix. 

L    4 

5° 

23 

Chattels 

L     5 

I25 

23 

Int.  and  Dis. 

Li4 

609 

35 

23 

Salary 

L  18 

357 

5° 

23 

Expense 

L    21 

120 

23 

Advertising 

L23 

27 

50 

23 

Wages 

L24 

II 

23 

Collection 

L24 

I 

7° 

23 

H.B.B.  Priv. 

L     i 

259 

47 

23 

E.  M.  C.  Priv. 

'^     i 

25Q 

47 

2712 

JLL 

2712 

JI 

.7 

RET'D  MERCHANDISE 


19 

=ff 

May 

4 

}         2 

140 

May 

2?> 

Mdse 

L      2 

140 

23 

Mdse 

L      2 

000 

140 

140 

W.  GLENN 


May 

4 

S  i 

1464 

93 

May 

4 

]   * 

140 

4 

1    .2 

5 

20 

Bal. 

13*9 

7.? 

1464 

93 

1464 

03 

May 

23 

Bal. 

L  25 

1  3  1  9 

73 

INTEREST  AND  DISCOUNT 


May 

6 

I      2 

20 

May 

!      2 

3 

88 

4 

X     3 

2O 

2.? 

Loss  awJ  gain 

L  // 

35 

14 

C     - 

15 

79 

17 

^    3 

10 

1C 

22 

C    3 

20 

23 

C    3 

I 

34 

23 

PerAcis.Rec.Dis 

379 

24 

Bills  Rec.  Dis. 

146 

61  3 

23 

" 

61.3 

-21 

19 

Per-  Acts.  Rec.  Pis. 

379 

24 

May 

23 

BillsRec.Dis. 

146 

67 

[35] 


E.  C.  WALTZ  &  Co. 

NEW  YORK,  N.  Y. 


19 

~^9~ 

May 

i 

S     i 

1250 

May 

4 

C      2 

1  100 

23 

Bal. 

150 





_ 

I25° 

—  . 

„ 



____ 

=L£J£ 

= 

M^y 

23 

Bal. 

L*5 

150 

1 

LONGSHORE  &  CRANE                                       PAGE  is 

I9 

19 

May 

I 

c  I 

1639 
1639 

98 
JL« 

May 

7 

?  i 

3279 

96 

= 

= 

===== 

jaa 

M 

=r 

= 

— 

3279 

===t 

PAGE  ,6                                           J.  M.   GOLDSMITH 

19 

T9 

May 

2 

S     i 

247 

95 

May 

9 

J         2 

288 

14 

3 

S     i 

232 

28 

9 

C       2 

192 

09 

— 

= 

480 

- 



= 



480 

SAN  FRANCISCO  BANK  STOCK 

PAGE  17 

19 

19 

May 

21 

I  2 

200 

=  . 

May 

i=L 

Bal. 

• 

200 

= 

May 

23 

Bal. 

L25 

2OO 

PAGE  IB                                              SALARY 

19 
May 

23 

J         2 

125 

19 
May 

23 

Loss  and  gain 

L  ii 

357 

50 

6 

c    3 

42 

5° 

14 

C    3 

75 

' 

20 

C    3 

5° 

23 

C     s 

357 

_5-£ 



357 

J£ 

1 

[86] 


May 


May  23    Bal. 


S.    S.    BUCKNER   &   Co. 

NEW  YORK,  N.  Y. 


S  7 

-____-_--— 

5000 

*9 

May 

22 
23 

Bal. 

C   2 

495° 

49 

H 

5000 

85 

5000 

L25 

49 

A.   C.  LADD 

CARTERVIIXE,  GA. 


J9 

19 

May 

7 

S  i 

537 

66 

May 

13 

C   2 

483 

89 

18 

S   2 

900 

22 

C   2 

900 

23 

C  4 

53 

77 



= 

t437 

66 



=£M1 

66 

ATLANTIC  &  PACIFIC  TEA  Co. 


IVfay 

ii 

S        2 

1369 

°7 

May 

]         2 

35° 

22 

^     3 

365 

33 

17 

C       2 

1019 

07 

2J 

Bal. 

365 

•2_L 



—  - 

__^^__7 

-im 

40 



— 



1734 

& 

May 

23 

Bal. 

L25 

365 

33 

EXPENSE 


/     19 
May 

i 

C     3 

120 

W 

M.     1 

J9 

May 

^ELSO 

fLL 

Loss  and  gain 

L  ii 

720 

E    21 

N 

PAG 

J9 
May 

!9 

May 

14 

Bal. 

S       2 

1300 

J9 

May 

23 

23 

Bal. 

C     4 

75 
1225 

1300 
1225 



1300 

23 

L25 

[87] 


SIMMONDS  &   DRUMMOND 


!9 

19 

May 

22 

S     3 

_552 

ll 

Maw 

£L 

Bal. 



552 

48_ 

May 

23 

Bal. 

L- 

SS2 

48 

PAGE   22                                                                            P.    &  G.    T.    DODD 

I9 

19 

May 

21 

S        2 

130 

Alav 

r?  JBol. 



13  < 



19 

May 

23 

Bal. 

L*5 

130 

FREIGHT                                            PAGE  23 

IQ 

May 

4 

J          2 

5 

20 

Alav 

23 

Mdse 

L      2 

268 

20 

4 

<-     3 

15 

4 

C     s 

8 

16 

C     s 

100 

20 

C     3 

140 

= 

= 

268 

20 

= 

= 

=• 

268 

20 

ADVERTISING                                         PAGE  23 

19 

May 

14 

C    3 

7 

50 

May 

23 

Loss  and  gain 

L  ii 

27 

50 

20 

C     s 

10 

23 

C.5 

10 

PAGE 

14 

C( 

)LLI 

:CTIO 

N 

19 

19 

May 

22 

C     3 

i 

20 

MOV 

23 

Loss  and  gain 

L  ii 

i 

7° 

23 

C    s 

5° 

= 

= 

i 

= 

= 

i 

70 

[88] 


WAGES 


I9 

rp 

May 

14 

C    3 

5 

May 

23 

Loss  (Mid  gain 

L  n 

ii 

20 

^    3 

6 

= 

1  1 

1  1 

BALANCE  OF  BALANCES,  OR  BALANCE  SHEET 


_^  —  .  —  -  —  —  —  —  ___________^^_^__»_—  _^__— 

May 

23 

Mdse 

L       2 

2753 

86 

Ma9y 

23 

Bills  Payable 

L     7 

3020 

Bills  Rec. 

L    3 

1466 

73 

2T, 

Hall  S.&  L.Co 

L    9 

285 

23 

Fur.  and  Fix. 

L     4 

500 

23 

Int.  and  Dis. 

L  14 

525 

91 

23 

Chattels 

L    5 

*75 

23 

H.B.  Burton,  Stk 

L    i 

3151 

33 

23 
23 

W.  Glenn 
S.  F.  B'nkStk. 

Li7 

1319 
200 

73 

23 

E.C.Chap'nStk. 

L    i 

3221 

97 

23 

E.C.Waltz&  Co. 

L  18 

1  50 

23 

S.S.Buckn'r&Co 

LiQ 

49 

85 

23 

At.  &P.  Tea  Co. 

L  20 

365 

33 

23 

Wm.  Nelson 

L    21 

1225 

23 

P.  &  G.  T.  Dodd 

L    22 

130 

Simmons  &  D. 

L    22 

SS2 

48 

23 

Cash 

CB 

1316 

23 

10204 

21 

10204 

21 

=- 

Or  in  order  to  provide  for  a  Reserve  for  Bad  Debts,  some  students  may  prefer  to  figure 
the  10  per  cent  of  personal  accounts  receivable  and  hills  receivable,  and  then  make  a 
Journal  entry,  debiting  Loss  and  Gain  and  Crediting  Reserve  for  the  amount,  963591. 
Then,  the  resources  set  out  in  the  Statement  would  equal  the  footing  of  the  Balance  Sheet, 
as  the  liabilities  would  be  increased  by  the  amount,  ($525.91)  reserved  for  Bad  Debts, 
Many  prefer  this  method,  because  it,  at  once  furnishes  proof  of  the  correctness  of  the 
Balance  Sheet  In  that  event,  no  Balance  would  show  below  the  Int.  and  Dis.  account, 
but  a  credit  balance  of  $523.91  would  show  below  the  account.  Reserve  for  Bad  Debts. 
Such  students  should  not  be  marked  wrong.  Then  the  Balance  Sheet  should  show  as 
below : 

BALANCE  SHEET 


IO 

19 

May 

23 
23 

Mdse 
Bills  Rec. 

L       2 

L    3 

2753 
1466 

86 
73 

May 

23 
23 

Bills  Payable 
HallS.&L.Co. 

\  ' 

L    9 

3020 
285 

23 

Accts.  Rer. 

L 

3792 

39 

23 

Res'vforBd.Db. 

L 

525 

91 

23 

Fur.  and  Fix. 

L    4 

qoo 

2^ 

H.  B.  B.  St  ck 

L    i 

3I5I 

33 

23 

Chattels 

L     5 

'75 

23 

E.  M.  C.  Stock 

L     i 

3221 

97 

23 

S.  K.  Bk.  Stk. 

L  17 

200 

23 

Cash 

CB 

I3l6 

-2i 

•==• 

=r 

= 

IO2O4. 

2  I 



=r 

= 

10204 

21 

[89] 


TRIAL  BALANCE  AND  STATEMENT 

OF  H.  B.  BURTON'S  BUSINESS,  MAY  23,  19 


i 

H.  B.  Burton,  Stock 

6075 

i 

H.  B.  Burton,  Private 

3808 

14 

625 

i 

E.  M.  Chapman,  Stock 

3°37 

5° 

i 

E.  M.  Chapman,  Private 

75° 

675 

2 

3 

Mdse                    (Invry  $2753.86) 
Bills  Receivable 

24477 
5343 

52 

24844 
3876 

23 
79 

4 

Fur.  and  Fix.        (Invry  $500) 

55° 

5 
7 

Chattels                  (Invry  $175) 
Bills  Payable 

375 
6294 

98 

75 

98 

9 

Hall  Safe  &  Lock  Co. 

15 

300 

1  1 

Loss  and  Gain 

891 

38 

12 

Retd  Mdse 

140 

13 

W.  Glenn 

1464 

93 

145 

20 

14 

Int.  and  Dis. 

87 

32 

3 

85 

S.  F.  Bank  Stock 

200 

18 

Salary 

357 

50 

18 

E.  C.  'Waltz  &  Co. 

i  250 

I  IOO 

19 

S.  S.  Buckner  &  Co. 

5000 

495° 

15 

20 

Atlantic  &  Pacific  Tea  Co. 

1734 

40 

1369 

07 

21 

Wm.  Nelson 

1300 

75 

21 

Expense 

120 

22 

P.  and  G.  T.  Dodd 

I30 

22 

Simons  &  Drummond 

SS2 

48 

23 

Freight 

268 

20 

23 

Advertising 

27 

50 

24 

Wages 

II 

24 

Collection 

I 

70 

CB 

Cash 

24569 

27 

23253 

04 

797IQ 

JU 

79719 

84 

STATEMENT 

RESOURCES 

Personal  Accts  Receivable,  $3792.39, 

less  10%  $379-24  ----- 

3413 

15 

2 

Mdse  Invry     

Fur.  and  Fix.  Invry  

2753 
500 

86 

4 

Chattels  Invry       - 

5 

Bills  Rec.,  $1466.73,  less  10%  $146.67 

1320 

06 

3 

S.  F.  Bank  Stock      

200 

CB 

Cash      - 

23 

V   D 

Total  Resources       -       -        - 

9678 

3° 

LIABILITIES 

Personal  Accts  Payable       - 

285 

Bills  Payable       ------ 

^020 

Total  Liabilities    - 

3305 

Firm's  Present  Worth 

63?  3 

?o 

:,-"~— 

: 

.= 

-i—  • 

[90] 


STATEMENT— Continued. 


GAINS 

Mdse  -   --- 
Total  Qains  - 

LOSSES 

Fur.  and  Fix. 

Chattels    -       ... 
14    Int.  and  Dis. 
1 8    Salary      - 
21     Expense       - 

23  Advertising    - 

24  Wages  -       -       _       - 
24    Collection         - 

Total  Losses 
Firm's  Net  Gain  - 

H.  B.  Burton      - 
»         Cr.  by  Net  Stock  - 
"      Y?.  Net  Gain 
E.  M.  Chapman 

Cr.  by  Net  Stock  - 
"      1/2  Net  Gain 
Firm's  Present  Worth 


500 
39i 
5° 
125 
609 

357 

I2O 

27 
II 

T 


5° 


2°. 


2712 


37 


2891  86 

259  47 


2962 
259 


3I51 


3221 
6373 


43 


33 


30 


JOURNAL 


CINCINNATI,  OHIO,  APRIL 


A  copartnership  has  this  day  been  farmed  be- 

tween W.  Clark,  W.  \V.  Ely,  and  H.  B.  Bur- 

ton  for  the  purpose  of   conducting  a  Clock 

Manufacturing     Business    at     1438     Walnut 

street. 

The  firm  name  is  to  be  Burton.,  Clark  &  Co. 

The  gains  or  losses  are  to  be  shared  in  the    pro- 

portion of  three  fifths  to  H.  B.  Burton  and 

one  fifth  each  to  W.  Clark  and  W.  W.  Ely. 

W.  Clark  invests  the  following   resources    and 

liabilities  : 

CB 

Cash 

17632 

So 

Q 

Bills  Receivable 

4395 

25 

8 

A.  G.  Davis 

11277 

i 

W.  Clark,'  Stock 

10750 

75 

For  net  investment  as  per  above  resources  and 

liabilities 

W.  W.  Ely  invests  the  following  resources  and 

• 

liabilities: 

CB 

Cash 

9603 

35 

10 

Mortgages  Receivable 

10750 

75 

5 

J.  B.  Loom  is 

7068 

85 

2 

W.  W.  Ely,  Stock 

13285 

25 

For  net  investment  as  per  above  resources  and 

liabilities. 

H.  B.  Burton  invests  the  following  resources  and 

liabilities  •. 

CE 

Cash 

1680 

ri 

Chattels 

55° 

7 

N.  V.  Taylor 

3265 

50 

6 

M.  J.  Quinn 

4785 

25 

4 

Merchandise 

49580 

3° 

12 

Bills  Payable 

24225 

5° 

3 

H.  B.  Burton,  Stock 

35635 

55 

For  net  investment  as  per  above  resources  and 

liabilities 

4 

Mdse 

4785 

5 

J.  B.  Loom  is 

4785 

For  Inv.  No.  — 

4 

Mdse 

1840 

75 

8 

A.  G.  Davis 

1840 

75 

For  Inv.  No.  — 

4 

Mdse 

2390 

25 

5 

J.  B.  Loomis 

2390 

25 

For  Tnv.  No.  — 

• 

4 

Mdse 

3235 

5° 

8 

A.  G.  Davis 

3235 

5" 

For  Inv.  No.  — 

(92) 


TUESDAY,  APRIL 


BURTON,    CLARK    Sc    CO. 
JOURNAL 


FIRST 

TRIAL  BALANCE  AND  STATEMENT 

W.  Clark         

10750 

75 

W.  W.  Ely         

•3285 

25 

H.  B.  Burton          

35635 

55 

Mdse    (Inv'ry  $60,585.75)     

73127 

80 

14486 

5° 

J.  B.  Loomis  --------- 

2500 

14244 

10 

M.  J.  Quinn       

12376 

20OO 

N.  V.  Taylor         

10161 

25 

"   1500 

A.  G.  Davis       -------- 

500 

^353 

25 

Mortgages  Receivable     ------ 

4o95 
10750 

25 

75 

Chattels  (Inv'ry  $495)        

55° 

Bills  Payable      -       -       -       

24225 

50 

Expense  ..... 

300 

Casji      

32415 

85 

I4596 

147076 

]Kf 

147076 

~ 

RESOURCES 

M.  J.  Quinn    -       

10376 

N.  V.  Taylor     

8661 

25 

Bills  Receivable    -------- 

4395 

25 

Mortgages  Receivable     -                              - 

10750 

75 

Chattels  Inv'ry      

495 

Mdse    Inv'ry      

60585 

75 

Cash         

17819 

85 

113083 

85 

LIABILITIES 

J.  B.  Loomis  -       -       :       

11744 

10 

A.  G.  Davis        -------- 

15853 

25 

Bills  Payable          -^     -       -       -       -       - 

24225 

50 

51822 

85 

Firm"1  s  Present  Worth    ------ 

61261 

00 

GAINS 

• 

Mdse        

1944 

45 

LOSSES               i 

Chattels       

55 

Ooo 

355 

Firm"1  s  Net  Gain       ------- 

'5$9 

45 

W.    CLARK,    PARTNER 

Cr.  by  Net  Stock  Acct        

10750 

75 

"     "    \  Net  Gain    

317 

89 

Net  Present  Worth      

11068 

64 

W.    W.    ELY,    PARTNER 

Cr.  by  Net  Stock  Acct    

13285 

25 

3i7 

89 

Net  Present  Worth          

ijboj 

14 

(93) 


BURTON,  CLARK  a  CO. 
JOURNAL 


THURSDAY,  APRIL      ,  19 


H.    B.    BURTON,    PARTNER 

Cr.  by  Net  Stock  Acct. 

35635 

55 

"      "  f  Net  Gain    

953 

67 

Net  Present  Worth      

3t>589 

22 

= 

Firm's  Present  Worth    

= 

— 

61261 

00 

FIRST    CLOSING    ENTRIES 

4 

Mdse        

1944 

45 

M 

Loss  and  Gain      

1944 

45 

Entry  necessary  for  closing  accounts  that  show 

a  gain. 

u 

Loss  and  Gain       

355 

1  1 

Chattels  

55 

*3 

Expense      -------- 

300 

Entries  necessary  for  closing  accounts  showing 

a  loss 

t4 

Loss  and  Gain    (Clark,  Ely,  Burton)       - 

1589 

45 

i 

W.  Clark        -       -       

3'7 

89 

2 

W.  W.  Ely        

3^7 

89 

3 

H.  B.  Burton        

953 

67 

Entries  necessary  for  adjusting  the  net  gain  of 

the  business  to  the  partners'  accounts 

15 

The  American  Clock  Co.    

113083 

St 

4 

Merchandise          

60^85 

75 

6 

IO3?6 

7 

N.  V.  Taylor        

*J  / 

8661 

25 

9 

Bills  Receivable       

4395 

25 

io 

Mortgages  Receivable        -       -       -       - 

10750 

75 

i>xD 

Chattels      

495 

oo 

CB 

Cash        

17819 

85 

Entry  necessary  for  closing  all  resource  accounts 
belonging  to  the  partnership  firm  of  Burton, 

Clark  &  Co.,  and  charging  the  same  to  the 

new  company  incorporated  under  the  name 

of  the  American  Clock  Co. 

24.22=; 

c;o 

I  2 

*'*t*'*'  j 

11744 

i*8« 

j 

IO 

2; 

3 

H.  B.  Burton,  Stock  Account       -       -       -       - 

J     J-J 

36589 

J 

22 

i 

W.  Clark,  Stock  Account  

11068 

64 

2 

W.  W.  Ely,  Stock  Account  

13603 

14 

15 

The  American  Clock  Co.    

113083 

8£ 

Entry  necessary  for  transferring   the    partners' 

accounts  and  all  the  liability  accounts  of  the 

firm  of  Burton,  Clark  &  Co.,  to  the  corpora- 

tion of  The  American  Clock  Co. 

(94) 


CrfAorl                                                                           BURTON.    CLARK   &  CO 
PAOE    2                                                                                                                                                                                                                        CASH    BOOK 

19 

CB 

Balance    

28915 

85 

7 

N.  V.  Taylor,  on  acct     

I5OO 

= 

= 

6 

M.  J.  Quinn  --------- 

1st  Trial  Bal. 

2000 

32415 

85 

(95) 


BURTON.  CLARK  &  CO. 
CASH  BOOK 


CASH 


13 

Expense,  City  license         - 

45 

X3 

"           rent  for  one  month 

175 

13 

**           books  and  stationery      - 

50 

4 

Mdse,    manufacturing  expenses 

2265 

25 

4 

"        per  Inv.  No                           .... 

7380 

25 

4 

"        manufacturing  expense    -       -       • 

1650 

5° 

Q 

A      C*     T^       "c-                   y*t 

COO 

O 

5 

J.  B.  Loomis,  on  acct      ---.-- 

2500 

Expense,  for  sundry  items         -       -       -       - 

30 

H596 

00 

1st  Trial  Bal. 

CB 

Balance        ....*...- 

17819 

85 

32415 

»5 

BURTON.    CLARK    &   CO.                                                           SALES      BOOK 
SALES     BOOK                                                                                                                                                                                                                                               PAGE    S 

6 

M.  J.  Quinn 

5345 

5n 

Mdse    per  bill  rendered 

7 

N.  V.  Taylor 

3445 

5° 

Mdse    per  bill  rendered 

7 

N.  V.  Taylor 

345° 

25 

Mdse   per  bill  rendered 

6 

M.  J.  Quinn 

2245 

25 

Mdse   per  bill  rendered 

4 

Mdse   Cr. 

14486 

5n 

(96) 


LEDGER                                                                                                                                                                                                                                    PAGE    1 

PAG 

E  2 

Present  WorlJi 

J3 

11068 

64 

Present  Worth 

J   i 

3 

10750 
317 

75 
89 

64 

11068 

64 

11068 

= 

11068 
W 

_64_ 

.  W 

.  Ei/s 

7- 

11068 

_64 

= 

Present  Worth 

J  3 

f&oj 

'4 

= 

= 

Present  Worth 

]   2 
3 

13285 
317 

25 
89 

13603 
13603 

14 

E 

13603 
13603 

_H 

"H 

••«•«• 

H.  B.  BURTON 


PAGE  5 


Present  Worth 

J  3 

J6JT&? 

22 

Present  Worth 

J   i 

3 

35635 
953 

55 
67 

36589 

22 

36589 
36589 

22 



36589 

22 

~22~ 

—~~ 

~^~- 

~—  "•"—" 

~—  • 

•~~"^ 

•^^ 

~^~ 

~~—— 

MERCHANDISE 


r  i 

4958o 

So 

S.  B. 

5 

14486 

50 

i 

4785 

Inv'ry 

J  3 

60585 

75 

i 

1840 

75 

i 

2390 

25 

i 

3235 

50 

^i 

2265 

25 

i 

738o 

25 

i 

1650 

So 

Gain 

J3 

•  1944 

45 

75072 

25 

75072 

25 

Inv'rj 

60585 

75 

J.   B.   LOOMIS                                 PAGE  5 

C3 

2500 

I  i 

7068 

85 

J  3 

11744 

10 

i 

4785 

i 

2390 

25 

= 

= 

— 

14244 

10 

= 

= 

= 

14244 

16 

(97) 


M.  J.  OUINN 


BURTON.  CLARK  &  CO 
LEDGER 


. 

= 

— 

i; 

5 

4785 

5345 
2245 

25 
50 

25 

C2 

J  3 

2000 
10376 

12376 
N. 

00 

12376 

7 

V.    1 

AAYLO 

R 

PAGE 

PAGI 

:  8 

ll 

5 

3265 
3445 
345° 

50 
50 

25 

j 

^.  DA 

C  2 

3 

1500 
8661 

25 

10161 

_2j>_ 

I0l6l 

.!! 

J 

<Y.  C 

VIS 

= 

==• 

• 

C  T, 

J3 

500 
15853 

16353 

BILLS 

I 

25 

CEIVA 

BL1 

e 

J   i 

i 

i 

II277 

1840 
3235 

75 
5o 

25 

^353 

RE 

PAGE  9 

PAG 

J_J 

Me 

4395 

=1 

SES 

-£ 

RECEIVE 

.BLE 

J  3 

4395 

25 

E  10 

)RTGA 

= 

- 

J  i 

J  3 

10750 

Ii 
11 

10750 

75 

CHATTELS 

PAGE 

Inv^ry 

J  i 

550 

'  ===== 

Inv'rj 

Loss 

ii 

495 

55 

550 

- 

550 

= 

= 

= 

49S 

= 

495 

(98) 


BILLS  PAYABLE 


EXPENSE 


. ^ c^u 4 R K -PJ  -c<J> ,J 

LEDGER 


J   3  UMS 

5° 

J_, 

24225 

50 

C3 

45 

3 

175 

3 

50 

3 

30 

= 

300 

= 

= 

= 

J  3 


300 


300 


Loss  AND  GAIN 


I   3 

355 

Mdse 

J  3 

1944 

45 

W.  Clark 

3 

317 

89 

» 

W.  W.  Ely 

3 

31? 

8q 

H.  B.  Burton 

3 

953 

67 

= 

= 

= 

1944 

ii 

= 

= 

=• 

J944 

* 

THE  AMERICAN  CLOCK  Co. 


85 


113083    85 


(99) 


AMERICAN    CLOCK    CO. 
STOCK    SUB.     BOOK 


We,  the   undersigned,    do   hereby  subscribe  for  a?id  agree   to  take 


the  number  of  Shares  of  Capital  Stock  at.  ......... 


in  the  ...............  ^ 

set  opposite  our  respective  names. 


value 
(  Limited) 


DATE 

NAME 

ADDRESS 

NO.  OF  SHARES 

Am't 
Dollars 

40 

Xa.3* 

^snw.e  nun  '</  Jen 

340 

34,  000 

*«w 

(sue   nundr*ed 

400 

40,  000 

**4fr 

'  '      facttfu 

if 

420 

42,  000 

s*  9S.  <&~t 

3t*fy 

30 

3,000 

y.  e.  au. 

.Jfce  /iHtta^ea 

200 

J0,  000 

Cfl    £/?  /fi>  / 
j.    Jz.    (L/4vcpn 

%L 

5 

500 

5 

500 

(100) 


VMERICAN  CLOCK  CO. 
JOURNAL 


MONDAY,  APRIL 


'3 
14 

'5 
i 

2 

3 

8 
CB2 

0 
i  6 

18 
4 

6 
13 


i4 


10 


Subscription  (for  all  stock  sub.)       -       -       -       - 

Treasury  Stock         

Merchandise 

N.  V.  Taylor     -------- 

M.  J.  Quinn 

Bills  Receivable 

Chattels  ---------- 

Mortgages  Receivable     -       - 

Cash 

Capital  Stock 

Bills  Payable 

A.  G.  Davis  - 

J.  B.  Loomis 

H.  B.  Burton        - 

W.  Clark 

W.  W.  Ely 

Subscription 

For  the  nominal  amount  of  stock  of  The  Ameri- 
can Clock  Co.,  incorporated  on  a  basis  of 
$80,000  Capital  Stock,  divided  into  800 
shares,  at  a  par  value  of  $100  each,  of  which 
40  shares  are  to  remain  on  the  company's 
books  as  Treasury  Stock  until  sold.  The  re- 
maining 760  shares  have  been  issued  to  the 
incorporators  and  associates  as  follows  : 
H.  B,  Burton,  310  shares  $31000 

W.  Clark,  100  shares  10000 

W.  \V.  Ely,  1 20  shares  12000 

A.  B    Cook,  30  shares  3000 

G.  E.  Daley,  200  shares  20000 


Subscription   - 

Treasury 
For  the  par  value  of  5  shares  of  Treasury  Stock 

sold  to  S.  L.  Osborn  for  cash  at  a  discount  of 

20%,  as  per  the  following  entry  : 

Stock  Premium  and  Discount  -       -       -       -       - 

Subscription 

For  discount  on  5  shares  of  Treasury  Stock  sold 
to  S.  L.  Osborn  as  per  above  entry 

Subscription 

Treasury  Stock     -.--.. 
For  the  par  value  of  5  shares  of  Treasury  Stock 
sold  to  N.  V.  Taylor  for  Mdse.  at  a  premium 
of  5%  as  per  the  following  entry  : 

Merchandise  .-.-.-..- 
Subscription  ------- 

Stock  Premium  and  Discount      • 
Far  5  shares  of   Treasury  Stock  at  par  value, 
sold  at  a  premium  of  5%  in  favor  of  N.  V. 
Taylor  for  merchandise,  as  per  Inv.  No.  — 

(101) 


76000 
4Ooo 


866 1 
10376 

4395 

495 

10750 

17819 


500 


525 


80000 
24225 

15853 
11744 

5589 

1068 

1603 

53000 


100 


500 
2; 


50 
25 
10 

22 
64 

H 

86 


WEDNESDAY,  APRIL 


JOURNAL 


12 

1  1  ^O 

13 

Subscription  - 
For  amount  of  dividend  due  A.  B.  Crook  and 

:i50 

G.  E.  Daley,  which  is  placed  to  their  credit 

in  the  Stock  Ledger  as  follows  : 

A.  B.  Crook                                                      $  150 

G.  E.  Daley                                                      1000 

'5 

Merchandise  --       

1200 

13 

Subscription  (A.  B.  Crook)      ... 

I2OC 

Received  merchandise  of  A.  B.  Crook    as  part 

payment  on  his  stock,  as  per  Inv.  No,  — 

3 

Bills  Receivable    

QOOO 

13 

Subscription  (G.  E.  Daley) 

9000 

Received  G.  E.  Daley's  note  at  30  days'  int.  at 

4%,  as  part  payment  on  his  stock 

(102) 


FIRST  TRIAL  BALANCE 
OF  THE  AMERICAN  CLOCK  Co.,  APRIL 


AMERICAN     CLOCK    CO 

JOURNAL 


Subscription   

77000 

67650 

Treasury  Stock         ------- 

4000 

IOOO 

Mdse        -       -       

84855 

75 

25855 

80 

Bills  Payable     

27225 

50 

A.  G.  Davis      --------- 

15853 

25 

J.  B.  Loomis      -------- 

11744 

10 

N   V   Taylor  ------- 

8661 

2C 

10376 

*3 

Bills  Receivable    -       - 

13395 

25 

H.  B.  Burton      

5589 

22 

W   Clark         --------- 

1068 

6A 

W.  W.  Ely        

1603 

uq. 

14 

Chattels   -.-... 

495 

Mortgages  Receivable     ------ 

10750 

75 

Capital  Stock         -------- 

80000 

Dividend  No.  i-------- 

2765 

Dividend  No.  2-------- 

3875 

Stock  Premium  and  Discount       - 

IOO 

25 

161 

80 

Assessment  No.  i-       ------ 

luo 

6i35 

Cash         

55510 

65 

28419 

°5 

T^nrni  tiwp  onrl   T^ivtnroc 

IQC 

*>  C 

1yj 

oc 

*S 

*J 

To" 

__ 

272168 

272168 

70 

SECOND  TRIAL  BALANCE 



<^— 

OF  THE  AMERICAN  CLOCK  Co.,  APRIL    ,  190  . 

Interest  and  Discount  -       -  .    - 

68 

06 

Subscription       ------- 

77000 

67650 

Tr*iOc?ni-ir    Qfr  /-*/*lr 

4000 

IOOO 

Mdse     ---------- 

84855 

75 

80062 

26 

Chattels  ---       

495 

45° 

Capital  Stock     -------- 

80000 

Dividend  No.  i-------- 

2765 

Dividend  No.  2        ---„--- 

3875 

Stock  Premium  and  Discount  -       -       -       -       - 

IOO 

25 

Expense       

163 

80 

Assessment  No.  i          ------- 

6i35 

Furniture  and  Fixtures    ------ 

Pu<h 

153550 

32i 

«75 

91^)70 

QR 

IF 

t/IOl  U 

57U 

327068 

327068 

22_ 

9 

Capital  Stock        -                             .... 

18990 

r3 

Subscription  ------- 

9350 

14 

Treasury  Stock         ------ 

3000 

1  1 

Dividend  No.  I    

2765 

12 

Dividend  No.  2        ------ 

3875 

Entry  necessary  for  closing  the  above  accounts 

to  the  Capital  Stock  account  on  closing  the 

books,                 ,   I9 

20 

Assessment  No.  I         ---_... 

6i35 

9 

Capital  Stock        ------ 

6i35 

Entry  necessary  for  closing  the  Assessment  ac- 

count to  the  Capital  Stock  account,  on  closing 

the  books,               19 

(103) 

TUESDAY,  APRIL 


AMERICAN    CLOCK    CO. 


— 

= 

THIRD 

TRIAL  BALANCE  AND  STATEMENT 

OF  THE  AMERICAN  CLOCK  Co.,  APRIL     ,  19    . 

Capital  Stock        
Stock  "Premium  and  Discount       .... 
Mdse        
Expense       

Furniture  and  Fixtures       ..-.-- 

18990 

IOO 

84855 
163 

*95 
68 
153550 

495 

21 

25 
06 
36 

IE 

86135 

25 
80062 

175 

91570 
45° 

26 
96 

Chattels       

RESOURCES 

258418 

« 

4793 
163 
20 
68 
45 
75 

67M5 
5165 

258418 

22 

40 

40 

60 

do 

61979 
6/979 

Firm's  Present  Worth        ...... 

= 

LOSSES 

49 
80 

25 
06 

5165 

C/6V 

Furniture  and  Fixtures       ...... 
Interest  and  Discount     ------ 
Chattels  - 

Stock  Premium  and  Discount       .... 

= 

THE  AMERICAN  CLOCK  CO. 

Capital  Stock,  Dr.  18990   - 
Cr.  86135        
Paid  up  Capital     --        
Net  Loss     
Firm"1  s  Present  Worth        ------ 

60 
60 

60 

6X979 

6/979 

4793 
163 
20 
68 
45 
75 

5l65 

40 

40 

49 
80 

25 
06 

60 

24 
15 
19 

21 
23 

7 
ro 

9 
24 

CLOSING  ENTRIES        (3D  TRIAL  BAL.) 

3165 
5165 

MrUe                                        - 

Furniture  and  Fixtures  
Interest  and  Discount        -       -       -       - 
Chattels      
Stock  Premium  and  Discount  -       -       - 
Entry  necessary  for  closing  accounts  that  show 
a  loss 

Capital  Stock        

Entry  necessary  for  closing  the  Loss  and  Gain 
account  to  the  Capital  Stock  account 

(104) 


\ 
^4 

\S 

1 

il 

P 

a 

.  H  33 

ffi  > 
Z< 

<$.   0, 

S  y 

' 

CERTIFICATE  1 

PPS  ^ 

a 

2  J 

I    I 

^    * 
Cfl 

1 

t- 
C 

O 
c/: 

SURRENDERER 

Subject  to  By-Laws  of 
Company 

Q 
W 

cn 

< 

r-i 
W 

a 
Z 

•ON  [Hjoi 

o      o 

O         t- 

t^      t- 

o    »-    2 

O   O   O   O   O  "->"•> 

i—   O   n   ro  O 

ff)    M      —  1                  M 

•a 

^        flj 

d   ro  ^*  i-ovO 

^       2 

J 

OH 

O 

o 

Bb 

Q 
W 

OJ 

52 

2      ^"o  JT  c  -^ 
pq  U  >  pq  y  j  ^> 

(105) 


AMERICAN    CLOCK    CO 
ASSESSMENT    BOOK 


Date  Delinquent^. 19 Date  of  Sale— 

3  PER  CENT  ON  PREFERRED  STOCK 

Assessment  No — tf  % — per  Share.    Levied. 


.19    — 


STOCKHOLDER'S  NAME 

Cer. 

No. 

Share 
No. 

Amount  in 
Dollars 

^3       Date  of 
O      Payment 

REMARKS 

H.  B.  Burton 

310 

2480 

Paid 

W.  Clark 

IOO 

800 

W.  W.  Ely 

1  2O 

960 

A.  B.  Crook 

3° 

240 

G.  E.  Daley 

2OO 

1600 

S.  L.  Osborn 

5 

IS 

N.  V.  Taylor 

5 

40 

3 

(106) 


CASH 


CASH    BOOK 


*3 

Balance 

Subscription  A.  B.  Crook  ------ 

300 

17819 

85 

*3 

16 

"            G.  E.  Daley      

Bills  Payable,  note  30  days.  6%      -       -       -       - 

2OOO 
3OOO 

i5 

Mdse   Sale         -------- 

13290 

J3 

Subscription,  Preferred  Stock  to  L,  S.  Osborn   - 

40O 

i5 

Mdse    Sales        --...-.. 

12565 

80 

20 

Assessment  No.  I,  H.  B.  Burton     -       -       -       - 

2480 

20 

W.  Clark        -       ... 

800 

2O 

WW    Flv 

nfin 

QOU 

2O 

A.  B.  Crook    -       -       -       - 

240 

2O 

G.  E.  Daley       -  "    - 

1600 

20 

S.  L.  Osborn  -       -       -       - 

15 

2O 

N.  V.  Taylor      -       -       -       - 

1st  Trial  Bal. 

40 

37690 

55510 

80 

65 

2  2 

2C 

21 

Furniture  and  Fixtures       ------ 

fy 

175 

IS 

Mdse   Sale  

54206 

46 

A  CO 

I 

N.  V.  Taylor     "-       - 

4ju 

8661 

25 

2 

M.  J.  Quinn   

10376 

M 

r 

i 

Mortgages  Receivable        -              .... 

J3395 
10750 

Z5 

75 

98039 

71 

2d  Trial  Bal. 

153550 

36 

153550 

86 

I 

i 

(107) 


AMERI 

c 

3AN 
ASH 

=  LOC 

BOOK 

CASH 

F 

AGE     3 

ig 

Expense  for  expert  work    ------ 

150 

21 

Furniture  and  Fixture     ------ 

75 

22 

People's  Gas  Co.,  deposit  for  gas  meter 

25 

15 

Mdse.    raw  material       

"345 

15 

44                  44                     «(                    ..._._. 

1  1  200 

I  I 

Dividend  No.  i,  H.  B.  Burton    -      -       -      - 

I  ceo 

I  I 

"     "  W.  Clark        

500 

_ 

II 

"          "     "  W.  W.  Ely       -       -       - 

600 

J    J 

jj                 44        *  *      A       T-4      r^rr»r\L" 

T  £ 

I  I 

"          "     "  G.  E.  Daley     -       -       -       - 

100 

19 

Expense,  repairs  of  stoje  ------ 

13 

80 

21 

Furniture  and  Fixtures,  I  2O-foot  counter 

63 

5° 

21 

"           **          "    YI  doz.  antique  organ  stools 

21 

75 

21 

**           **         **     I  show  case    -       -       -       - 

35 

12 

Dividend  No.  2,  H.  B.  Burton     - 

!55° 

«               44       44    AJIT     Pl-arlf 

1    J 

500 

12 

"          «*     "  W.  W.  Ely        -       - 

600 

12 

"          "     "  S.  L.  Osborn        -       ... 

50 

12 

"          .4     44  54^  v.  Taylor    -       -       -       - 

25 

1st  Trial  Bal. 

28419 

05 

17 

A.  G.  Davis    

15853 

25 

18 

J.  B.  Loom  is      -------- 

II744 

IO 

16 

Hills  Payable  

27225 

5° 

4 

H.  B.  Burton     

5589 

22 

5 

W.  Clark         - 

1068 

64 

6 

W.  W.  Ely          

1603 

14 

23 

Interest  and  Discount   

68 

06 

2d  ami  3d  Trial  Bal. 

91570 

96 

9 

Capital  Stock,  H.  B.  Burton        - 

28123 

2O 

9 

W.  Clark    

9072 

9 

W.  W.  Ely     

10886 

40 

9 

A.  B.  Crook         

1587 

60 

9 

G.  E.  Daley  

II424 

9 

S.  L.  Osborn     

432 

60 



9 

'"      N.  V.  Taylor 

453 

60 

153550 

86 

REMARK.  —  The  above  distribution  of  the  pres- 

ent worth  is  effected  upon  the  basis  of  allow- 

ing  each  stockholder  credit  for  all   that  he 

has  paid  into  the  business  including  his  as- 

sessments. 

This   would    be    an   equitable    settlement,    but 

other  methods  of  liquidation  might  be  pro- 

vided   by   the   by-laws   or   adopted    by   the 

directors,  commissioners,  or  other  authority 

that  winds  up  the  affairs  of  the  company. 

In  the  settlement  here  given,  the  total  credits  of 

the    stockholders,    as    shown    by    the    Stock 

Ledger,  amount  to  $67,650.     To  this  sum  is 

added  the  total  amount  of  Assessment  No.  I, 

$6,135,  making  $73,785,  total  amount  paid  in. 

Dividing  the  present  worth  of  the  company, 

$61,979.40  by  this  sum  gives  84.    Hence,  each 

stockholder  receives  84  cents  on  the  dollar  for 

that  he  has  contributed  to  the  company. 

/  1  r\r»\ 

1ERICAN    CLOCK    CO. 
STOCK    LEDGER 


H.  B.  BURTON 


H 

DATE 

Stock 
Journal 
Folio 

Cer. 
No. 

of 

c 
5  6 

No.  of 
Shares 
Issued 

No.  of 
Shares 
Trans. 

TO  WHOM  TRANSFERRED 
AND  OTHER  EXPLANATIONS 

H    . 

3 
w 

3 

w 
ft 

HZ 

p 

u 

I 

310 

For  310  shares  of  $100  each 

31000 

Payment  in  full  for  above  stock 

31000 

W.  CLARK 


H 

DATE 

Stock 
Journal 
Folio 

Cer. 

No. 

Id 

No.  of 
Shares 
Issued 

No.  of 
Shares 
Trans. 

TO  WHOM  TRANSFERRED 
AND  OTHER  EXPLANATIONS 

H 

3 
a 

Q 
W 

06 

HZ 

Q 

U 

, 

IOO 

For  100  shares  of  $100  each 

IOOOO 

Payment  in  full  for  above  stock 

IOOOO 

W.  W.  ELY 


H 

DATE 

Stock 
Journal 
Folio 

Cer. 
No. 

c 
2  d 

No.  of 
Shares 
Issued 

No.  of 
Shares 
Trans. 

TO  WHOM  TRANSFERRED  . 
AND  OTHER  EXPLANATIONS 

H 

3 

Q 

& 

HZ 

Q 

U 

I 

1  2O 

For  1  20  shares  of  $100  each 

12000 

Payment  in  full  for  above  stock 

I2OOO 

A.  B.  CROOK 


H 

DATE 

Stock 
Journal 

Cer. 

c 

No.  of 
Shares 

No.  of 
Shares 

TO  WHOM  TRANSFERRED 

H 

3 

5 
W 

Folio 

No. 

2    e 

Issued 

Trans. 

AND  OTHER  EXPLANATIONS 

P4 

H  Z 

Q 

I 

30 

For  30  shares  of  $100  each 

3OOO 

Cr.  for  \o>%  on  above  stock 

300 

Cr.  for  Div.  No.  2  of  5  % 

Cr.  by  Mdse   per  Inv. 

1200 

G.  E.  DALEY 


DATE 

Stock 
Journal 
Folio 

Cer. 

No. 

i 

S   o 

HZ 

No.  of 
Shares 
Issued 

No.  of 
Shares 
Trans. 

TO  WHOM  TRANSFERRED 
AND  OTHER  EXPLANATIONS 

DEBIT 

XKT3HJ 

I 

200 

For  200  shares  of  $100  each 

20000 

Cr.  10%  on  above  stock 

2000 

Cr.  for  Div.  No.  2  of  5  % 

IOOO 

Cr.  by  his  note  at  30  days 

9OOO 

(109) 

S.    L-    OSBORN 


AMERICAN    CLOCK    CO. 


H 

DATE 

Stock 
Journal 
Folio 

Ccr. 

No. 

c 
2  o 

No.  of 
Shares 
Issued 

No.  of 
Shares 
Trans. 

TO  WHOM  TRANSFERRED 
AND  OTHER  EXPLANATIONS 

M 

S 
w 

Q 
W 
K 

HZ 

Q 

U 

Paid 

5 

For  5  shares  of  preferred  stock 

at  10% 

500 

N.  V.  TAYLOR 


H 

DATE 

Stock 
Journal 
Folio 

Cer. 

No. 

ui 

a 
2  o 

No.  of 
Shares 
Issued 

No.  of 
Shares 
Trans. 

TO  WHOM  TRANSFERRED 
AND  OTHER  EXPLANATIONS 

H 

n 

w 

S 

X 

HZ 

Q 

u 

Paid 

5 

For  5  shares  of  $100  each 

500 

(110) 


AMERICAN    CLOCK    CO. 
DIVIDEND     RECEIPT    BOOK 


Z$o<>4 


DIVIDEND  No.  i  OF  5^,  DECLARED.. 


Check 

No. 

NAMES  OF  STOCKHOLDERS- 

No.  of 
Shares 

Am't  of 
Dividend 

Date  of 

Payment 

SIGNATURES  OF  STOCKHOLDERS 

H.  B.  Burton 

310 

1550 

W.  Clark 

100 

500 

W.  W.  Ely 

120 

6OO 

A.  B.  Crook 

30 

15 

G.  E.  Daley 

2OO 

ICO 

10  PER  CENT  ON  PREFERRED  STOCK 
DIVIDEND  No.  2  OF  5%,  DECLARED 19 


3heck 
No. 

NAMES  OF  STOCKHOLDERS 

No.  of 
Shares 

Am't  of 
Dividend 

Date  of 

Payment 

SIGNATURES  OF  STOCKHOLDERS 

H.  B.  Burton 

310 

1550 

W.  Clark 

100 

500 

W.  W.  Ely 

120 

600 

A.  B.  Crook 

30 

ISO 

G.  E.  Daley 

2OO 

IOCO 

S.  L.  Osbora 

5 

50 

N.  V.  Taylor 

5 

25 

LED 

GER 

IN 

.    V. 

I  AYLO 

t< 

PA 

C  E     t 

= 

= 

1st  Trial  Bal.    J     I 

8661 

25 

_ 

—  — 

= 

866l 

25 

M.  J.  QUINN 




1st  Trial  Bal. 

j  J 

10376 

141      N 

10376 

-| 

BILLS  RECEIVABLE                              PAGE3 

PAG 

E  4 

l§t  Trial  Bal. 

2 

4395 
9000 

13395 

1 

3URTC 

)N 

C2 

13395 

25 

13395 

H. 

^ 

B.  1 

13395 

_25 

ssasss 



Si 

5589     22 

==: 

— 

1st  Trial  Bal. 

M 

5589 

22 

W.  CLARK 


===== 





1068      64 

= 

1st  Trial  Bal.    J     I 

1068 

64 

1 

W.  W.  ELY 


= 

Hi6o3 
^ 

H 
(1 

12) 

— 

1st  Trial  Bal.    J     I 

1= 

l603 

14 

~" 

N     CLOCK     CO. 
-EDGER 


CHATTELS 


1 

lBt.23  andJdT.P. 

J    J 

495 

2d  and  8dT.fi. 

C2 

45° 

Loss 

J  4 

45 

— 

_49JL 



^_495_ 

« 
PAGE  8 

Me 

>RTGAGES 

m 

RECEIVABLE 

-r- 

1st  Trial  Bal. 

J_i 

1075° 

75 

= 

=• 

N 

10750    75 

CAPITAL  STOCK 


3d  Trial  Bal. 

J  3 

18990 

J     I 

80000 

4 

5l65 

60 

3 

6135 

H.  B.  Burton 

C  3 

28123 

20 

1st,  2d,  and3dT.fi. 

86135 

W.  Clark 

3 

9072 

W.  W.  Ely 

3 

10886 

40 

A.  B.  Crook 

3 

1587 

60 

G.  E.  Daley 

3 

11424 

S.  L.  Osborn 

3 

453 

60 

N.  V.  Taylor 

3 

432 

60 

86135 

00 

86135 

PAGI 

E    1O 

STC 

)CK 

PREIV 

HUM 

AND 

Dl 

SCOUNT 

"Gain 

J    I 

IOO 

1st,  2d,  and3dT.fi.    J     I 

Loss                      1    4 

25 

75 

DIVIDEND  No.  i 


H.  B.  Burton 

C3 

155° 

W.  Clark 

3 

500 

W.  W.  Ely 

3 

600 

A.  B.  Crook 

3 

15 

G.  E.  Daley 

3 

IOO 

lstand2dT.  B. 

2765 

= 

= 

2765 

= 

= 

J  3 

2765 

2765 

(113) 


DIVIDEND  No.  2 


AMERICAN     CLOCK    CO. 
LEDGER 


H.  B.  Burton 

C3 

155° 

W.  Clark 

3 

500 

W.  W.  Ely 

T    3 

600 

A.  B.  Crook 

J    2 

15° 

G.  E.  Daley 

2 

1000 

S.  L.  Osborn 

3 

50 

N.  V.  Taylor 
IgtT.B.andZdT.  B. 

C3 

3875 

= 

= 

3875 

~~ 

13 


3875 


3875 


SUBSCRIPTION 


1st  and  2d  T.  fi. 

J    I 

I 
I 

76000 
500 
500 

77000 

77000 

= 

1st  and  3d  T.  B. 


J  I 

53000 

I 

IOO 

C2 

300 

J  I 

500 

C  2 

2000 

2 

400 

J  2 

1150 

2 

I2OO 

2 

QOOO 

67650 

3 

9350 

77ooo_ 

TREASURY  STOCK 


lstand'2dT.  B. 

J     I 

4000 

J     I 

500 

I 

500 

litand2dT.  B. 

1000 

3 

3000 

= 

= 

4000 

== 

= 

= 

— 

4000 

MERCHANDISE 


J     I 

60585 

75 

C2 

13290 

I 

525 

2 

12565 

80 

C  3 

"345 

1st  Trial  Bal 

25855 

80 

3 

II2OO 

2 

54206 

46 

1st,  2d,and3dT.  B. 

J  2 

1200 

S4855 

75 

3d  and  3d  T.  B. 

Loss 

J   4 

80062 

4793 

26 

49 

= 

= 

= 

84855 

11 



— 

84855 

75, 

(114) 


BILLS  PAYABLE 


AMERICAN  CLOCK  CO 
LEDGER 


= 

C3 

27225 

5° 

DAVI 

1st  Trial  Bal. 

I 

C2 

24225 
3000 

27225 

50 

50 

27225 
A. 

50 

27225 

£ 

17 

G. 

s 

PAGE 

PAGE 

:  is 

^1 

15853 
J- 

.!L 
B. 

LOOM 

[S 

1st  Trial  Bal. 

s 

15853 

£1 

= 

= 

11744 

J^J 

1st  Tri.-.l  Bal.    J     I 

"744 

PAGE 

IO 

III 
EXPENSE 

19 

PAGE 

• 

20 

lit,  2d,  and  3d  T.  B. 

C3 
J  3 

15-0 

i3_ 

80 

^ 

STT  N( 

D. 

Loss 

[ 

H.  B.  Burton 
W.  Clark 
W.  W.  Ely 
A.  B.  Crook 
G.  E.  Daley 
S.  I,.  Osborn 
N.  V.  Taylor 

1st  and  2d  T.  B. 

J  4 

Ca 

2 
2 
2 
2 
2 
2 

'l63 

80 

•85" 

163 

2480 
800 
960 
24O 
1600 

15 
40 

ASSES 
6135 

SME] 

===. 

6135 

6135 

- 

1 

(115) 


LEDGER                                                                                                                                                                                                                                   PAGE   21 

C.3 

75 

2d  T.  B.  and  3d  T.  B. 

J     2 

J75 

3 

63 

50 

Loss 

4 

20 

^5 

3 

21 

3 

35 

75 

1st,  2d,  and  3d  T.  B. 

*95 

25 

19S 

25 

~~ 

—  "L 

PEOPLE'S  GAS  Co. 




1st  Trial  Bal. 

C3 

25 



_ 

C2 

25 

_ 

INTEREST  AND  DISCOUNT 


3d  T.  B. 

C3 

68  |o6 

Loss 

J   4 

68 

06 

1" 

~~~" 

Loss  AND  GAIN 


,  

— 

J_4 

5^5     60 



M 

5165 

60 

(116) 


Balance  Sheet  of  W.  I.  Tobin 

Bills  Rec. 

J375 

G.  A.  Cooley 

1383 

J.  D.  Denney 
Bills  Pay. 

M75 

500 

W.  I.  Tobin 

3733 

Entry  closing  old  books  of  each  proprietor 

(See  page  184,  Guide) 

" 

Entry  to  Close  the  old  Books  of  R.  A.  Welch 

Welch,  McRae  &  Co. 

I  1000 

Cash 

1500 

Bills  Rec. 

20OO 

J.  W.  Minor 

2500 

D.  M.   Hull 

5OOO 

Bills  Pay. 

700 

J.  W.  Arthur 

i  700 

R.  A.  Welch 

8600 

Welch,  McRae  &  Co. 

I  IOOO 

Entry  to  Close  the  old  Books  of  R.  McRae 

Welch,  McRae  &  Co. 

2250 

Cash 

'      IOOO 

Bills  Rec. 

1250 

R.  McRae 

2250 

Welch,  McRae  &  Co. 

2250 

Entry  to  Close  the  old  Books  of  W.  I.  Tobin 

Welch,  McRae  &  Co. 

4233 

Bills  Rec. 

J375 

G.  G.  Cooley 

1383 

J.  W.  Denney 
W.  I.  Tobin 

3733 

1475 

Dills  Pay. 
Welch,  McRae  &  Co. 

500 

4233 

Entry  to  Open  the  New  Books  for  the  Part- 

nership of  Welch,  McRae  &  Co. 

Cash 

2500 

Bills  Rec. 

4625 

J.  W.  Minor 

2500 

D.  M.  Hull 

5000 

G.  H.  Cooley 

1383 

J.  W.  Denney 
Bills  Pay. 

J475 

1  200 

J.  W.  Arthur 

i  700 

R.  A.  Welch,  Partner 

8600 

R.  McRae 

2250 

W.  I.  Tobin 

•*•  *•  J 

3733 

[117] 


Opening  entry  for  the  problem  following 

transaction  613 

As  in  other  like  problems,  many  forms  of 

Opening  Entry  may  be  given  for  this  prob- 
lem.   In  such  cases,  in  making  application 

for  a  Charter,  it  is  well  to  have  the  old 

books  conform  to  the  representations  of  the 

•  incorporators.     The  ^corporators  should 

be  prepared  to  show  that  profits  of  the  old 

company  for  a  period  of  years  (  usually  five, 
see  page  242,  Guide)  have  been  sufficient 

to  warrant  the  entry  of  Goodwill  at  the 

amount  named,  and  that  their  old  b^oks 

show  such  entry;  then  the  entries  required 

to  sustain  this  representation  and  to  close 

the  books  of  the  partnership  should  be 

made,  in  the  old  Journal,  as  follows: 

Subscription 

IOOOOO 

Stock  (of  Partnership) 

50000 

Goodwill  (of  Partnership) 

50000 

Stock  (of  Partnership) 

50000 

Goodwill  (of  Paitnership) 

50000 

Subscription 

IOOOOO 

Or,  without  attempting  to  show  any  history 

or  makeup  of  the  assets  of  the  partnership, 

but  assuming  that  the  assets  are  taken  by 

the  corporation  at  50c  on  the  dollar,  the 

opening  entries  on  the  corporation  books 

may  be  as  follows: 

Subscribed  Stock  (see  Stock  Books) 

IOOOOO 

Unsubscribed  Stock  or  Treasury  Stock 

IOOOOO 

Capital  Stock 

2OOOOO 

Or,  to  show  on  the  corporation  books  the 

makeup  of  the  assets  of  the  partnership 

taken  over  by  the  corporation,  the  entry 

might  be  as  follows: 

Stock  (of  Partnership) 

50000 

Goodwill  (of  Partnership) 

50000 

Treasury  Stock 

I  OOOOO 

« 

Capital  Stock 

200OOO 

[118] 


Opening  entry  for  the  problem  following 

transaction  81 

Cash 

2679 

83 

C.  C.  Scott 

J995 

56 

B.  C.  Curtis 

2144 

41 

D.  F.  Piper 

1142 

26 

A.  F.  Ranger 

257 

°5 

D.  M.  Spaulding 
W.  G.  Evans 

557 

10 

29 

W.  V.  Parker 

5°4 

90 

L.  E.  Halbert 

448 

87 

John  Doe 

5352 

95 

Opening  entry  for  the  problem  following 

transaction  121 

Cash                                                                         6739 

28 

J   A.  Alexander  &  Co.                                           199^ 

58 

Pitcher  &  Co. 

4144 

95 

Sherman  Smyser 

2124 

46 

D.  A.  Burgett  &  Co. 

3342 

26 

W.  A.  Smyser 

557 

°5 

D.  A.  Forsyth 

557 

10 

\V.  A.  Bridges 

J355 

59 

Bills  Payable 

4220 

A.  M.  Ragsdale 

2125 

L.  C.  Wilkes 

226 

50 

Oris  Eaton 

1623 

15 

D.  M.  Foster 

1012 

14 

H.  B.  Burton,  Stock 

II509 

48 

Opening  entry  for  the  problem  following 

transaction  245 

The  following  is  a  good  form  for  the  opening 

entry  under  the  conditions  named 

Balance  Sheet  of  R.  A.  Welch 

Assets     Liabilities 

Cash 

1500 

Bills  Rec. 

20OO 

J   W.  Minor 
D.  M.  Hull 

2500 
5OOO 

Bills  Payable 

700 

J.  W.  Arthur 
R.  A.  Welch 

I  700 
8600 

Balance  Sheet  of  R.  McRae 

Cash 

IOOO 

Bills  Rec. 

I25O 

R.  McRae 

2250 

[119] 


Accommodation  Notes,  Increasing  Capital  by 24 

American  Merchandise  Company 7 

Antedating  and  Postdating 25 

Auditing  Office 13 

Balance  Sheet  W.  I.  Tobin 117 

Bank,  The  Merchants 0 

Banks,  Other 7 

Blank  Books,  Use  of 18 

Branch  Houses 20 

Business  Directions. . . , 3 

Cabinet,  The 4 

Cards 4 

Device,  How  Used 15 

Cards,  How  Used 15 

Cash  Book,  Daily  Balancing  of 20 

Check  Figure,  Trial  Balance,  Daily  Safeguard 21 

College  Produce  Company 10 

Collateral  Security,  Note  for 26 

Conditional  Transactions 21 

Copying  Press 17 

Books,  Posting  from 17 

Corporations 27 

Daily  Balancing  of  Cash  Book 20 

Figure  Trial  Balance 21 

Reminder 20 

Safeguard  Check  Figure  Trial  Balance 21 

Discounting  Notes  at  Bank 22 

Drafts,  Time  and  Sight 24 

Dry  Goods  Business 25 

Duplicate  Invoices.. 28 

Entries,  Opening 20 

Entry  to  Close  Old  Books  of  R.  A.  Welch 117 

to  Close  Old  Books  R.  McRae 117 

to  Close  Old  Books  of  W.  I.  Tobin 117 

Examinations,  Purpose  of 16 

Examination,  Journalizing 43 

First  Eighty-one  Transactions 17 

First  Six  Notes,  Payment  of : 22 

General  Merchandise  Business 26 

Guide,  The  Student's 5 

How  to  Handle  the  Offices 13 

How  to  Maintain  the  Offices 14 

How  to  Start  a  New  Student 14 

If  the  Cabinet  Cards  are  Used 15 

If  the  Cabinet  Device  is  Used 15 

Increasing  Capital  by  Accommodation  Notes 24 

Insurance  and  Taxes 14 

Inventory  of  Offices 14 

Invoices,  Made-Out 27 

Duplicate 28 

Journalizing  Examination 43 

Journal,  Nine-Column 25 

Sixteen-Column 26 

Keys 17 

Leaving  School,  Students 28 

Lengthening  the  Course,  or  Shortening 18 

Loan  by  Indorsement 22 

Losses  and  Gains 18 

Made-Out  Invoices 27 

Merchants  Bank,  The 6 

Merchandise,  Returned 23 


PAGE 

Modified  Voucher  Method,  The 27 

New  Student,  How  to  Start 14 

Nine-Column  Journal 25 

Notes  for  Collateral  Security 20 

Notes,  Discounting  at  Bank 22 

Offices,  How  to  Handle 13 

Inventory  of '  14 

How  to  Maintain 14 

American  Merchandise  Co 7 

Auditing 13 

College  Produce  Co 10 

Merchants  Bank -.  .  .  .  6 

Other  Banks 7 

Post 12 

Real  Estate 12 

School 5 

Type  Machines  In 28 

U.  S.  Commission  Co 9 

Opening  Entries 20 

Entry  Welch,  McRae  &  Co 117 

Entry  Problem  following  Transaction  No.  8 119 

Entry  Problem  following  Transaction  No.  121 119 

Entry  Problem  following  Transaction  No.'  245 119 

Entry  Problem  following  Transaction  No.  613 118 

Organizing  a'  Quiz.  . . 19 

Pavment  of  First  Six  Notes 22 

Plan,  The 3 

Post-office 12 

.  Posting  from  Copying  Books 17 

§uiz,  Organizing  a 19 

ate  Sheet 15 

Real  Estate 25 

Real  Estate  Office 12 

Report  Book 18 

Returned  Merchandise 23 

Returned  Check 23 

Review  Questions,  Use  of 19 

School  Offices 5 

Settling  Days 17 

Shortening  or  Lengthening  the  Course 18 

Single  Entry '25 

Sixteen-Column  Journal : 26 

Shipments -23 

Special  Column  for  Transaction  Numbers 28 

Student's  Guide,  The 5 

Student's  leaving  School 28 

Student  not  Limited 20 

Taxes,  Insurance  and 14 

Tanning  Business 26 

Teachers'  Training  Class ! 28 

Time  and  Sight  Drafts 24 

Training  Class,  Teachers' 28 

Transaction  No.  53 22 

Transaction  No.  66 -.  .  .  .  22 

Transaction  Numbers,  Special  Column  for 28 

Trial  Balance,  Daily  I^igure 21 

Trial  Balance,  Daily  Safeguard  Check  Figure 21 

Typemachines  in  offices 28 

U.  S.  Commission  Company 9 

Use  of  Blank  Books 18 

Use  of  Review  Questions 19 

Voucher  Method,  The 26 

Voucher  Method,  The  Modified 27 


VC  4502; 


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